May 2013 Financial News

First Citizens’ to go public

May 27, 2013

An initial public offering (IPO) of First Citizens shares on the Trinidad and Tobago Stock Market is expected to take place in late June, timed to coincide with the bank’s 20th anniversary.

The much-anticipated announcement was made by Chief Executive Officer of First Citizens Group (FCG), Larry Nath, during a CLICO Investment Fund IPO Stakeholder Recognition Ceremony which was held on Friday at the Trinidad Union Club, Nicholas Tower, Port-of-Spain.

“By June of this year, in our 20th year of First Citizens, we, the people of TT will have the opportunity to buy the shares of First Citizens Bank and in so doing, become part owners of an institution that is not only the highest investment grade rated indigenous bank in the English speaking Caribbean, but is also a testimony of the ability of the people of Trinidad and Tobago to achieve outstanding success against all odds,” Nath declared.

When asked for more details about the IPO, he told reporters approximately 20 percent of the Group’s share holdings or 48 million share units, would be listed on the TTSE.

Although Nath said “the Fund is expected to be worth (about) $1 billion to $1.2 billion,” he could not give a final unit price per share just yet.

“We have made recommendations to our majority shareholder (Government) and are awaiting their feedback on the final unit price...Hopefully by the next week, week and a half.”

Questioned about the input, if any, of the Banking Insurance and General Workers’ Union (BIGWU); the recognised union for FCG workers, in this IPO, Nath had this to say — “We respect and acknowledge the union’s perspective. The union has been looking at it and have conveyed their thoughts. We respect that and are in conversation with the union and we hope all employees take up this wonderful opportunity to participate in the IPO.”

The CEO also gave an update on financial statistics about State-owned FCG during the function.

Namely, “based on our recent six months results to March 31, 2013, the Group’s assets have grown to $36 billion. It is also noteworthy that the Group’s capital base has now crossed the $6 billion mark and the qualifying capital to risk adjusted assets ratio remains best of class at 58 percent.”


Source:
By Sasha Harrinanan
Newsday
Sunday May 26, 2013

http://www.newsday.co.tt/business/0,178243.html