CBZ concludes merger transaction
The country’s largest financial services group, CBZ Holdings Limited (CBZHL), says it has received both government and board approval to merge the operations of CBZ Bank and CBZ Building Society into one entity, CBZ Bank Limited.
The transaction comes as the group is seeking to create a domestic and regional multi-asset class business in the financial services sector.
The merger completes a process that began in 2010 when the group started an operational integration process between the bank and the building society, resulting in the former offering a one-stop shop facility to its clients.
In a statement to shareholders, group legal corporate secretary, Rumbidzayi Jakanani, said the group is now moving to finalise and operationalise the amalgamation.
“The amalgamation is going to be effected through consolidation of all assets, liabilities and equity of CBZ Bank Limited and CBZ Building Society into one entity, CBZ Bank Limited,” she said.
She said that the company has now surrendered the Building Society licence to the Registrar of Building Societies for cancellation in terms of section 14(3) of Building Societies Act (Chapter 24:02).
Jakanani said that prior to the Board approval; the Finance and Economic Development Minister, Professor Mthuli Ncube, approved the amalgamation on May 20, 2022.
The group’s chairman, Marc Holtzman, in 2020 set out a dynamic strategic vision for the financial institution.
His vision is to maintain and grow the financial institution’s dominant market share of more than 23 per cent, develop its IT framework, and integrate its businesses, including the newly launched CBZ Capital.
He said that financial services are set to change more in the next 10 years than it has changed in the past 300 years.
Following the acquisition of First Mutual Holdings (FMHL), Holtzman said that the intention was to create a one big, strong insurance company; hence the idea is to merge the operations in the short term.
According to Holtzman, CBZ Holdings is the premier financial services provider in Zimbabwe and led by its flagship business, CBZ Bank, CBZ Holdings aims to reach global investors and become the conduit for foreign investment in Zimbabwe.-ebusinessweekly
