It is the first transaction that a local bank has successfully courted a foreign investor.
The transaction will see ADC own a 45% shareholding. The deal has since received the requisite regulatory approval.
KMQ Enterprises, a Mauritius domiciled company, will own a 9% stake and is awaiting regulatory approval. Of the remaining shareholding, 28% is held by a local consortium and the balance by other local investors and an employee share trust.
The transaction is expected to achieve the strengthening of corporate governance and management structure of Premier. It will also open doors for Premier to access capital and credit lines on the international capital markets.
The local consortium which holds 28% in Premier is made up of George Manyere, Walter Kambwanji and Douglas Mamvura.
Speaking to journalists on Wednesday on behalf of the board, Premier chairman Sengi Mlambo said: “We welcome the new shareholders and consider this as a significant step in enhancing the current product portfolio and service offering. The partnership will also strengthen the ability of the group to meet the needs of the emerging Zimbabwe economy.”
Manyere, an executive director, with Premier said: “Management welcomes the partnership with ADC and believes that this enhances Premier’s capacity to access capital and credit lines to support the growth of the existing business and other strategic ambitions.”
ADC chief executive Dirk Harbecke said: “ADC’s investment demonstrates our confidence in our local partner, the future of Premier and the prospects offered by the Zimbabwe economy in general.
“We would not have made this
investment if we did not have confidence in the opportunity that exists to build Premier into a significant player within the growing Zimbabwean economy.
“We will second some of our experienced international bankers to Premier from time to time in order to complement Premier’s management in delivering excellent client service and financial solutions and to support the shift of the company to its next level of expertise.”
Harbecke said this would result in skills transfer to Premier as well as placing the finance group at par with international banks on the market.
ADC is a pan-African financial service investment group which was founded and controlled by the Altira Group, one of German’s leading independent asset managers with more than US$1 billion of assets under its management. ADC’s shares are listed and traded on the Frankfurt Stock Exchange. — Staff Writer.