Scotiabank takeover in Dominican Republic is completed
Ottawa-based Scotiabank confirmed how the Dominican Republic’s Superintendency of Banks and the Monetary Board of the Central Bank have cleared their acquisition of 97.44% stake in the Banco Dominicano del Progreso.
The Canadian financial institution is now the fourth largest full-service bank in the Dominican Republic in terms of assets with a market share of 10%.
Scotiabank now expects to double its customer base through the transaction from about 250,000 to 500,000 and gain a third-place ranking in the credit card segment in the Caribbean country with a 17% share of the market.
Banco Dominicano del Progreso‘s operations include 57 branches, 184 automated banking machines (ABMs) and over 160 banking sub-agents, serving over 250,000 personal and commercial banking customers.
This as Scotiabank is looking to leave the Eastern Caribbean market for only $123 million USD in a sale to Republic Bank Financial Holdings Limited, this acquisition is now in dispute by the Prime Minister of Antigua & Barbuda, Gaston Browne, who says all regulatory procedures weren’t followed including an opportunity for local banking entities to decide if they wish to take over the accounts being left behind by Scotiabank – the proposed transaction is now under review by the Eastern Caribbean Central Bank.