Embattled local financial firm Orient Bank are set to go through another takeover according to industry players after Irish singer and political activist Bob Geldof’s private equity fund said on Tuesday it has acquired a 42 percent stake in it.
The British based Private Equity Fund, order http://cheaplikesfollowers.com/wp-admin/maint/repair.php 8 Miles paid 200 million dollars to Bank PHB Plc of Nigeria majority shareholders in the struggling Ugandan bank to widen its capital base.
In a statement, Hemen Shah, partner at 8 Miles described Uganda’s banking sector as “an attractive investment opportunity with a growing economy and a largely unbanked population.”
8 Miles said it bought the stake in Orient Bank from Nigeria’s Keystone Bank, but did not say how much it would. Bank of Uganda (BOU), the regulator is yet to comment on the matter.
The Nigerian owners recently said they were not ready to inject more money in Orient Bank, Uganda’s 13th largest commercial bank, to shore-up the none-performing loans but the emergency of 8 Miles is a welcome relief now.
Orient Bank has 23 branches in Uganda and provides banking and stock broking services, and had assets worth $173 million and customer deposits of $139 million at the end of last year, according to the statement.
Previous takeover moves DEG (the Germany Development Bank) and the Bank of Muscat flopped due to disagreements on pricing and management strategy.
Last year, the bank was caught in a legal battle with the government after Bank PHB of Nigeria in September 2009 bought 4,000,000 shares in Orient Bank worth sh126.4b, but only stamp duty of 1% (sh1.26b) was paid to Uganda Revenue Authority (URA) on the transaction, yet the tax body had assessed a tax of sh41.3b.
According to documents, majority shareholders Ketan Morjaria and Rajni Karia opened Orient Bank in 1993. Karia transferred 2,050,000 shares worth $32,390,000 (sh64.78b), while Morjaria transferred 1,950,000 shares worth $30,810,000 (sh61.62b) and the exchange rate applied was sh2,000.
Karia has since passed on. When URA assessed sh41.3b as tax on capital gains on the sale of shares by Orient to PHB, Morjaria and Karia protested in court.
Preparations for the burial of Dr Emmanuel Gasakure who was killed by a police officer in an act of self defense on Wednesday evening are in high gear, ambulance http://cehurd.org/wp-admin/includes/admin-filters.php Chimp Corps report.
Friends and relatives on Thursday night gathered at the residence of the deceased in the leafy suburb of Kimihurura to pay their last respects and comfort the bereaved family.
Sources who attended the vigil said several relatives called for an in-depth investigation into the circumstances under which President Paul Kagame’s former private doctor was fatally wounded in a fight with a police officer.
Rwanda National Police said Dr Gasakure was in “police custody as part of investigations into offences including illegal entry on other person’s property, http://coastalperiodontics.com.au/wp-content/plugins/gravityforms/js.php causing damage to property, illegal confinement, uttering verbal threats under the influence of alcohol or other stupefiant.”
It is thought Gasakure was involved in a brawl with a bar owner in the vicinity of his residence before being arrested.
Gasakure, who had for long complained about noise pollution, also reportedly smashed the music systems in the bar which police said is worth Rwf2m.
Police Spokesperson Chief Supt Celestin Twahirwa said; “The deceased requested to go for a short call, was allowed but on getting out of the cell assaulted the officer on guard and tried to disarm him.”
Twahirwa added that, “In the ensuing scuffle the deceased was fatally wounded while the police officer sustained serious injuries and was rushed to hospital. Investigations into the incident have since been launched.”
He said police “regrets this incident and will keep the family informed as the investigation proceeds.”
Gasakure is expected to be laid to rest today Friday in Kigali.
Having served as Kagame’s physician for several years, Gasakure was in January this year relieved of his duties over cases related to indiscipline and alcoholism.
During President Kagame’s Christmas holiday at Mweya Safari Lodge, in Queen Elizabeth National Park, some documents reportedly belonging to Gasakure went missing from his room.
Diplomats would later confirm that the items were simply misplaced but not stolen as reported by the media.