{"id":44853,"date":"2014-09-04T18:14:37","date_gmt":"2014-09-04T18:14:37","guid":{"rendered":"http:\/\/4cd.e16.myftpupload.com\/?p=44853"},"modified":"2014-09-04T18:15:41","modified_gmt":"2014-09-04T18:15:41","slug":"fidelity-bankprocredit-merger-sparks-new-craze-in-banking-industry","status":"publish","type":"post","link":"https:\/\/citifmonline.com\/2014\/09\/fidelity-bankprocredit-merger-sparks-new-craze-in-banking-industry\/","title":{"rendered":"Fidelity bank,ProCredit merger sparks new ‘craze’ in banking industry"},"content":{"rendered":"
The banking sector is likely to be hit with a new ‘craze’ where universal banks will begin acquiring savings and loans companies as well as microfinance companies.<\/p>\n
Fidelity bank became the first Ghanaian bank to make the move early this week after announcing it had acquired ProCredit Savings and Loans company.<\/p>\n
The deal which is yet to be approved by the Bank of Ghana and shareholders of the bank will see Fidelity bank purchasing all shares held by ProCredit’s two shareholders PCH and DOEN Foundation of Netherlands.<\/p>\n
Full integration of ProCredit, which has operated in Ghana for 12 years, \u00a0to Fidelity bank will be completed next year.<\/p>\n
New craze <\/b><\/p>\n
Universal banks in the Ghanaian banking industry in the history of the country, usually acquire or merge with other universal banks and not savings and loans companies, rural community banks \u00a0or microfinance institutions.<\/p>\n
Most acquisitions or mergers seen so far have been between local and international universal banks.<\/p>\n
This is the first time a local bank, is acquiring a foreign savings and loans company in the country.<\/p>\n
Banking consultant and Principal Consultant at Osei Tutu II Centre for Executive Education & Research, <\/i>Nana Otua Acheampong tells Citi Business News<\/b> more of such acquisitions will be seen in the banking industry soon.<\/p>\n