Citi Business News has gathered investment firm and owners of Fan Milk International, Abraaj Group, has initiated moves to acquire about 55 percent stake in Agricultural Development Bank (ADB).<\/p>\n
[contextly_sidebar id=”ShipNnf9pm1qSGXFBchBDk4b5wEPoPmG”]Abraaj Group replaces financial firm Atlas Mara Limited which pulled out of the deal recently.<\/p>\n
Atlas Mara had earlier signed a Memorandum of Understanding (MOU) with adb to invest 50 million dollars in exchange for 25 percent stake of the bank.<\/p>\n
Documents cited by Citi Business News reveal that Abraaj Group will be acquiring unsubscribed shares during the bank’s \u00a0Initial Public Offer (IPO).<\/p>\n
It will also give the bank an undisclosed amount of capital in the form of redeemable convertible loan notes.<\/p>\n
Documents cited by Citi Business News reveal that Abraaj will pay a subscription price per share of 2 cedis 65 pesewas which will equate to post IPO holding, including the planned 5 percent Employee Share Ownership Plan (ESOP), of at least 49%, corresponding to up to 131,642,882 shares.<\/p>\n
Abraaj Group per the deal is also demanding consent rights over board and management appointments among others.<\/p>\n
Abraaj Group just like Atlas Mara is demanding consent rights over board and management appointments of the bank.<\/p>\n
The investment firm is demanding to have four seats on the bank’s board as well as the right to appoint a Chief Executive Officer, Chief Financial Officer and Chief Operations Officer for the bank when it takes over.<\/p>\n
Abraaj is also demanding that the board of ADB Bank has a minimum of 7 members and a maximum of 11 members but any shareholder with 12% shareholding reserves the right to appoint a member to the board.<\/p>\n
But unlike Atlas Mara which had the right to appoint 2 members to the board Abraaj is asking for 4 seats and shall have the right to transfer its board seats in connection with transfer securities.<\/p>\n
Norfund a Norwegian Development Fund for developing countries is still one of the two investors to participate in the equity investments in ADB.<\/p>\n
Abraaj per the contract will also have the power to compensate Executive Committee Members and \u00a0employees\u00a0as well as appoint and or remove any member of the board of directors.<\/p>\n
–<\/p>\n
By:\u00a0 citifmonline.com\/Ghana<\/p>\n
<\/p>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
Citi Business News has gathered investment firm and owners of Fan Milk International, Abraaj Group, has initiated moves to acquire about 55 percent stake in Agricultural Development Bank (ADB). [contextly_sidebar id=”ShipNnf9pm1qSGXFBchBDk4b5wEPoPmG”]Abraaj Group replaces financial firm Atlas Mara Limited which pulled out of the deal recently. Atlas Mara had earlier signed a Memorandum of Understanding (MOU) […]<\/p>\n","protected":false},"author":14,"featured_media":161195,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":[],"jnews_primary_category":[],"jnews_social_meta":[],"jnews_override_counter":[],"footnotes":""},"categories":[19],"tags":[4],"class_list":["post-161193","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-health","tag-st-augustines-college"],"_links":{"self":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/161193","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=161193"}],"version-history":[{"count":0,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/161193\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/media\/161195"}],"wp:attachment":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=161193"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=161193"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=161193"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}