Hostile Takeover Bid For Cal Bank Takes Another Twist

…….as Bank of Ghana intervenes

Reliable information available to CITI FM indicate that but for the intervention of the Bank of Ghana, the shares of the International Finance Corporation and Prince Al Waleed in CAL Bank, which are 16.45% and 10.73% respectively, could have all been sold to the First City Monument Bank of Nigeria on the floor of the exchange today.

The two shareholders had traded their shares at 11.40am approximately when an order came from the Bank of Ghana ordering a cancellation of the transaction.

The First City Monument Bank has been making subtle moves to make a hostile bid for CAL Bank, after they succeeded in buying an 8.16% stake in CAL Bank last week.

The Bank had almost completed transactions for the acquisition of the shares of IFC and Prince Al Waleed, owner of Kingdom R5, this morning when the Bank of Ghana intervened.

The Central Bank claims that no regulatory approval was given before the transaction was conducted and therefore it will not be possible for the shares to change hands.

The move by the Bank of Ghana confirms reports by CITI FM that the subtle move by the Nigerian bank to takeover CAL Bank could encounter some hitches since the central bank will have to approve certain procedures before it can take place. Of the four key shareholders in CAL Bank, only Mr. Afari Donkor, founder of the Bank is unwilling to let go of his shares.