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RBC announces sale of Eastern Caribbean banking operations

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File photo of RBC Dominica

December 12, 2019 (Toronto, Canada)Royal Bank of Canada (RY on TSX and NYSE) today announced it has entered into definitive agreements to sell all banking operations in the Eastern Caribbean to a consortium of indigenous banks within the region. The transaction is subject to regulatory approval and other customary closing conditions,  and is expected to be finalized in the coming months.

“Consistent with our strategy of being a competitive leader in the markets where we operate, RBC is always evaluating opportunities for our business. Earlier this year, we were approached by a consortium of indigenous banks with their proposal to acquire all RBC Eastern Caribbean operations,” said Rob Johnston, Head, RBC Caribbean Banking. “After a review of our operations and strategy, we determined this opportunity was a good decision for the long-term future success of RBC Caribbean, and also, that it aligned with our vision to help our clients thrive and communities prosper,” he said.  

The sale encompasses the branches of Royal Bank of Canada in Antigua, Dominica, Montserrat, St. Lucia, and St. Kitts and Nevis, as well as regional businesses operating under RBC Royal Bank Holdings (EC) Limited in Nevis, Grenada and St. Vincent and the Grenadines. Collectively, these operations are referred to as “RBC Eastern Caribbean”. The consortium of five financial entities purchasing includes: 1st National Bank of St. Lucia, Antigua Commercial Bank Ltd., National Bank of Dominica Ltd., the Bank of Montserrat and Bank of Nevis Ltd.

Johnathan Johannes, Managing Director, 1st National Bank of St. Lucia, shared, “We formed the consortium for the express purpose of expanding the scale of the locally owned financial entities in the Eastern Caribbean Currency Union.  This transaction gives us the size and scale to play a more active role in the development of our respective countries. We see this transaction as the first step in achieving even greater synergies, efficiencies and cross-territory marketing opportunities.”

“RBC has operated in the Caribbean for more 100 years – longer than we have been in many parts of Canada. We remain committed to the future of the Caribbean and to a vision of digital innovation that transcends traditional services,” said Johnson. “This transaction will allow us to realign and focus our strategy on Caribbean markets where we can achieve that vision most successfully.”

“Self-determination is the highest level of empowerment – and the indigenous banks acquiring this business will now have an increased opportunity to influence the development of their communities,” said Johnston.  

Johannes added, “And speaking on behalf of the local banks, we embrace and eagerly anticipate that opportunity.”

The consortium was advised by PwC (JA), led by Wilfred Baghaloo, who added “this transaction demonstrates that Caribbean countries and businesses have the capacity and capability to  come together when the circumstances are right.”

Financial terms of the transaction were not disclosed. RBC will release its first quarter 2020 results and host an earnings conference call on February 21, 2020.

ABOUT RBC IN THE CARIBBEAN

With more than 100 years of dedicated service to the region, RBC has maintained a presence in 17 countries, with 52 branches and over 3,200 employees serving more than one million clients. As one of the Caribbean’s leading diversified financial services companies, RBC provides personal and commercial banking, wealth management, corporate and investment banking, insurance and trust and asset management services to a wide range of clients, including individuals, small businesses, general commercial entities, regional and multi-national corporations and governments. For more information, please visit rbc.com/caribbean.

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Caribbean News

UK issues warning to tourists following shark attack

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Rashaed Esson

Staff Writer

In response to the Shark attack in Tobago on April 26, the UK Foreign Office issued a warning for British tourists stating that Tobago authorities temporarily closed the Buccoo Reef Marine Park and urged those who visit the beach, those who fish and others, to be careful when visiting certain coastal areas. These are “Plymouth, Courland Bay, Black Rock, Mt. Irvine, Buccoo, Pigeon Point, Store Bay, and all areas in between.”

 

 

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JAMAICAN STUDENTS GAIN SCHOLARSHIPS TO STUDY IN CUBA

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KINGSTON, April 25 (JIS):

Fifteen young Jamaicans have gained scholarships to pursue tertiary training in medicine, nursing and civil engineering in the Republic of Cuba, under the Jamaica-Cuba Bilateral Scholarship Programme.

Speaking at the awards ceremony for the students, held at the Embassy of Cuba in St. Andrew on April 24, Minister of State in the Ministry of Foreign Affairs and Foreign Trade, Hon. Alando Terrelonge, said the scholarship component of the partnership is one of the many successes for Jamaicans.

“Through this valuable programme, the Government of Cuba has consistently invested in the educational development of Jamaican students, through the provision of well-needed and appreciated undergraduate and postgraduate scholarships, primarily in Medicine and Health Sciences,” Mr. Terrelonge said.

He highlighted that the long-standing, meaningful and mutually beneficial bond of friendship and cooperation has been shared between Jamaica and Cuba for more than 50 years and has provided invaluable support to Jamaica, with several agreements in the areas of Health, Science, Culture, Sports, Tourism and Education.

The Minister of State said that Jamaica is grateful for the unwavering support towards Jamaica’s development, adding that “not only are we close geographical partners but our relationship is based on, among other things, mutual respect and strong people-to-people connections”.

Mr. Terrelonge told the students that they have succeeded in securing their places in the various programmes and have proven themselves to be the “crème de la crème, having successfully undergone a rigorous selection process”.

“I commend you for your drive, hard work and dedication towards your educational development,” he said.

“As you prepare to depart Jamaica for diverse and vibrant Cuba, I encourage you all to continue to work diligently in your respective fields of study, to remain faithful to the goals you have set for yourselves, and to fly, even higher, the Jamaican flag in Cuba. It is my hope that you will not only meet but exceed your and your families’ expectations,” the State Minister added.

He also encouraged the students to view the scholarship not only as an opportunity to advance academically but to also “immerse yourselves in the rich culture of the Cuban people” and to form new connections, build networks, explore new adventures, improve their Spanish-speaking skills, and to stay connected with the Jamaica Embassy in Havana.

Under the full scholarship, tuition, accommodation, meals, clothing allowance, study materials and medical care are covered by Cuba.

The programme is administered by the Embassy of the Republic of Cuba in conjunction with the Scholarship Unit of the Ministry of Finance and the Public Service and other entities. Every year, the Cuban Government invites applications from persons wishing to pursue undergraduate and postgraduate studies.

 

CONTACT: GARFIELD L. ANGUS

 

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GROUND BROKEN FOR HIGH SCHOOL AT CHRISTEL HOUSE

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KINGSTON, May 1 (JIS):

Ground has been broken at the tuition-free Christel House at Twickenham Park, St. Catherine, for the construction of a high school.

Minister of Education and Youth, Hon. Faval Williams, who delivered the keynote address at the site, today (May 1), said Christel House’s dedication to breaking the cycle of poverty and empowering vulnerable children is “nothing short of inspiring”.

“Your decision to invest in Jamaica speaks volumes about your belief in our nation’s potential, and your dedication to making a meaningful difference in the lives of our youth is appreciated,” Minister Williams said.

She added that the partnership between the Government and the organisation, forged through a Memorandum of Understanding (MOU) in 2019, is a “prime example” of what can be achieved when public and private entities come together with a shared vision and purpose.

Further, the Minister said a foundation is being laid for a brighter future, one where every child has the opportunity to thrive and fulfil their potential, regardless of their circumstances.

She said that Christel House Jamaica, which now operates a kindergarten school at the location, will in time be more than just a school.

“It will be a symbol of optimism, a sanctuary of learning, and a catalyst for positive change in our community,” the Minister said.

“By providing comprehensive support, including education, nutrition, healthcare, and mentorship, Christel House will empower students to break free from the chains of poverty and chart a course towards a better tomorrow,” she added.

Mrs. Willliams said the shared goal between the Administration and Christel House extends beyond the construction of a building, as it is about nurturing the next generation of leaders, innovators, and change-makers who will shape the destiny of the nation.

“Together, we are sowing the seeds of prosperity, equity, and social justice, ensuring that no child is left behind,” she said.

The school provides breakfast, lunch and an afternoon snack, as well as transportation for children living far distances from the school. It also provides uniforms and textbooks, and counselling services for its students who have to contend with psychological and other emotional issues.

Founder of Christel House International, Christel Dehaan, emigrated from Germany to the United States (US) in 1962, and was an accomplished businesswoman.

In 1996, she sold her global enterprise, Resort Condominiums International (RCI), which had offices in 38 countries, and devoted her resources to philanthropic work from her headquarters in North Meridian Street, Indianapolis.

With support from dedicated donors, schools are run in India, Jamaica, Mexico, South Africa, and the US.

 

CONTACT: GARFIELD L. ANGUS

 

 

 

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