After meeting the minimum capital requirement of 400 million cedis, the Managing Director of Societe Generale(SG), Ghana Hakim Ouzzani has told Citi Business News the bank is aiming to increase its market share to 7 percent.
This he says will enable the bank expand its operations in the Small and Medium Enterprise sector.
Speaking to Citi Business News after the bank met some of its stakeholders, Hakim Ouzzani stated that the bank is aiming at increase its investment in the country.
“We are aiming to grow our share of the market from 5 percent to 7 percent by 2020. We believe this is achievable,” he said.
Touching on the capital requirement, Mr. Ouzzani said Societe Generale Ghana has increased its stated capital to GHS404,245,426.72 via a Bonus Issue of GHS 97,000,000.00 and a Rights Issue of GHS168,942,501.90, thus meeting the Bank of Ghana’s Directive issued in September 2017.
“Work on recapitalization commenced in 2017 when the Bank’s Board of Directors, Management and Shareholders together with the Sponsoring Broker, Financial and Legal Experts worked assiduously to comply with Bank of Ghana’s Directive in record time”.
He explained that the Board of Directors obtained Shareholders authorisation at the 38th Annual General Meeting of the bank on 28th March 2018.
The increase was through a bonus issue by the transfer from Income Surplus to Stated Capital of GHS97 million backed by a bonus share of 6 to 1 and a Renounceable Rights Issue to raise up to GHS170 million.
“This effort has strengthened the capital base of SG Ghana to enable the Bank engage in higher volumes of financial transactions. The new capitalisation will make it possible for SG Ghana to position itself to take advantage of the huge opportunities in the Ghanaian industry. It will also enhance the Bank’s competitive edge and enable it deal with new challenges”.
The Bank of Ghana, the Securities and Exchange Commission and the Ghana Stock Exchanged approved the Bonus Issue and the Rights Issue.
“Societe Generale Group is confident in Ghana and the operations of SG Ghana. The Bank is diligently working hard to support its customers as championed by its new brand signature; ‘The Future is You’.”
By: Lawrence Segbefia/citibusinessnews.com/Ghana