BancABC Botswana, the BSE quoted bank owned by the African Banking Corporations Holdings (ABCH) Limited, is in search of a new Managing Director.
The Telegraph understands that the bank, counted amongst the top five in the country, seeks to find a replacement for the current managing director, Jitto Kurian, whose contract with the group ends in March this year. It is not yet clear whether his contract will be renewed but the bank has already circulated paid advertisement in the local media announcing its search for a new MD.
During his tenure as a captain of the local subsidiary, Kurian guided BancABC’s growth in the local banking market which is comprises international players such as Barclays Bank of the United Kingdom, First National Bank originating from South Africa as well Standard Chartered and Stanbic Bank.
Available figures show that the local operation of the ABCH group has been growing, even surpassing other operations from such traditional operations, including in Zimbabwe from where the bank originated.
The bank’s previous financial statements shows that in 2012, the local operation contributed 27 percent to the entire group, second only to Zimbabwe which contributed 38 percent, well ahead of Mozambique (14 percent), Tanzania (4 percent) and Zambia 17 percent.
The group’s financial analysis indicates that the 27 percent contribution was a marked growth over the previous year where BancABC Botswana had only contributed only 19 percent.
During the same time, attributable profit for the Botswana operation grew from P28 million to P75 million, with assets springing from P2, 5 billion to P5 billion. Ranked fifth in Botswana, Bank ABC currently controls 9 percent of the market share and the figure is growing very fast.
The bank, which is a subsidiary of ABC Holdings Limited, has been in operation since 1989 as a leasing business and later became a merchant bank which is now listed in the Botswana Stock Exchange (BSE).
Meanwhile its minority shareholders, amongst them, directors of the group recently resolved to avoid a squeeze out of their company by the majority shareholder, ADC Financial Services by refusing to accept a mandatory buyout offer made late last year.
ADC Financial Services, a German-listed emerging pan-African banking group which is also a major shareholder of ABCH, notified other shareholders of its intentions to buy them out at an issue price of US$0.60 per share and at the exchange rate equivalent of P5.05 on the local bourse, the Botswana Stock Exchange (BSE).