First Citizens buys Barbados’ Butterfield
PORT-OF-SPAIN, Trinidad, Wednesday May 09, 2012 – Trinidad’s state-owned bank, First Citizens, announced Monday that it had signed an agreement to buy the Barbados subsidiary of the Bank of Butterfield.
First Citizens said in a statement that Butterfield Bank (Barbados) Limited provides retail, premium and business banking and lending services, merchant services, and credit and debit card services in Barbados.
It employs 114 staff at its main office in Carlisle House in Bridgetown and five additional banking centres across the island.
At the end of last year, the bank had assets of US$308million and customer deposits of US$270million.
Butterfield Bank (Barbados) Limited was established in 2003 following the acquisition by Butterfield of the Barbados assets of the Mutual Bank of the Caribbean Inc., at the time a subsidiary of The Barbados Mutual Life Assurance Society.
The statement said that the acquisition of Butterfield Bank (Barbados) Ltd represented the continuation of the group’s expansion throughout the region as it will be the first time First Citizens will have access to retail customers outside of Trinidad and Tobago.
Larry Howai, the Group Chief Executive Officer at First Citizens said: “This transaction confirms that First Citizens is well on course in terms of its strategic direction, particularly as it relates to acquisitions and regional expansion.
“This is certainly a ‘win win’ situation for both organisations and what is most rewarding is the fact that the customer wins. I must emphasise that our commitment to put customers first has been replicated in Barbados through our Investment Services Company and will be extended to more communities thanks to Butterfield Bank (Barbados).”
Bradford Kopp, Butterfield’s president and CEO, said: “In First Citizens, Butterfield has found the ideal buyer for our Barbados operations: a full service bank with a strong reputation for service and innovation, which has a well-established, complementary business on the island. Our employees, customers and premises in Barbados are a good fit with First Citizens’ business model, and we are confident that all stakeholders will benefit from this transaction.”
The Butterfield Bank (Barbados) Limited acquisition is pending regulatory approval. The sale is expected to be completed during the third quarter of 2012.
Reports indicate that there will be no job losses in Barbados as a result of the acquisition.