Focused on core banking, Cargills Bank divests controlling interest in Colombo Trust Finance

Thursday, 14 September 2017 00:00 - - {{hitsCtrl.values.hits}}

Cargills Bank Ltd. is pleased to announce the divesture of 80.34% stake controlling interest in Colombo Trust Finance PLC (CTF) to Dialog Axiata PLC. Upon obtaining approval from the Monetary Board of the Central Bank of Sri Lanka the transaction was successfully completed on 12 September through a crossing transaction on the Colombo Stock Exchange (CSE) for a consideration of Rs. 1,072 million.

Cargills Bank Managing Director/Chief Executive Officer Prabhu Mathavan said: “The bank’s investment in the finance company was re evaluated and the board of directors recommended a focused effort and energy on core banking activities and endorsed a total exit from its investment in CTF.”

“The proceeds from the divesture of CTF would support to fast track the bank’s growth momentum while strengthening its balance sheet. The bank is optimistic of capitalising its strengths in the newly evolving digital sphere and, with the confidence that digitalisation is the future of the banking industry, has earmarked several exciting initiatives,” he said.

Mathavan further added, “Cargills Bank is investing to serve a wider spectrum of customers through innovative ‘Fin Tech’ to reach out to the unbanked and underbanked fulfilling its core ethos of bringing financial inclusion to all Sri Lankans.”

Cargills Bank is a fully fledged commercial bank in Sri Lanka with rapidly expanding customer access through its unconventional business model built on access, convenience and inclusivity founded on the retail legacy of its promoters.