HNB takes 51% stake in Prime Grameen Microfinance
View(s):HNB further to the announcement made in early August 2014, on Tuesday entered into a shareholder agreement to purchase a stake of 51 per cent of voting rights in Prime Grameen Micro Finance Ltd.
The agreement was signed subsequent to the successful completion of a detailed due diligence and the transaction is expected to be concluded once regulatory clearance is obtained, according to an HNB media release.
This strategic acquisition will complement HNB’s investments in insurance and capital markets to benefit as a group from the growth prospects of the country. Jonathan Alles, Managing Director/ CEO of HNB, commenting on the proposed investment, said “Micro finance will play a key role in the development of rural Sri Lanka and in distributing the dividend of economic growth more evenly among society; as a premier local bank we take pride in participating in this development process”
Mr. Alles and Dilshan Rodrigo Chief Operating Officer of HNB PLC signed the agreement on behalf of HNB while B. Premalal, Chairman Prime Lands Ltd and Ms. Sandamini Perera, Deputy Chairman Prime Lands Ltd signed on behalf of Prime Lands Ltd while Ms. Crysanthi Thambiah, Director and Chaminda Prabath, Managing Director of Prime Grameen Micro Finance Ltd signed on behalf of Prime Grameen Micro Finance Ltd.