‘adb-Unibank takeover remains a hoax until’ … – SEC

The Securities and Exchange Commission (SEC) has also confirmed that the purported takeover of the Agricultural Development Bank (adb) by Unibank remains a hoax until it has approved such a transaction.

“I can confirm, that before any such takeover can take place, it requires the approval of the SEC. Because it’s a bank, they work through the Bank of Ghana, BoG, but even with the BoG’s approval, it is not complete unless the SEC has tipped and I can tell you that nothing has come before us,” Director General of the Securities and Exchange Commission (SEC) Rev. Daniel Ogbarmey Tetteh stated during a presentation at a workshop organized by the Institute of Financial Journalists, (IFEJ) and the USAID.

Reverend Tetteh’s statement confirms that of the BoG governor, Dr. Ernest Addison who stated that his outfit had not approved a transaction in which the Unibank took over adb.

According to the story in sections of the media, four shareholders: Belstar Capital, Starmount Development Company, EDC as well as SIC Financial Services Limited, who together own 51 percent of adb’s shares are said to have  pledged their shares, proceeds, entitlement and voting rights to Unibank.

But in a statement, adb acknowledged receipt of the letters regarding the transfer but debunked a takeover by Unibank adding that it is yet to receive an approval from the BoG to begin a process for the transfer.

Tetteh who admonished journalists to be circumspect in reporting on financial issues explained further that “If a certain percentage of transaction has occurred, report what has occurred. Nobody takes a stake in a bank without the approval of BoG but after BoG it needs to come to the SEC for approval and we haven’t done that so I am just confirming what we already know that this particular takeover is just a hoax. If later it will come before us that is a different issue but as I stand here I haven’t taken anything for approval to the approval and license committee.”

He also admonished the media to refrain from running commentary on financial issues as any inaccurate reportage has a tendency to hurt the fortunes of companies.

By Nana Oye Ankrah