EFFECTIVE Tuesday, April 24, 2018, HFC Bank will be known as Republic Bank.This follows approval by the Bank of Ghana (BoG) and the Securities and Exchange Commission (SEC).
In a circular by the Ghana Stock Exchange, HFC said it has been issued with a license by the Bank of Ghana to operate as Republic Bank, effective April 24, 2018.
The change of name has since been registered by the Registrar of Companies.
Meanwhile, HFC Bank will be seeking for shareholders’ approval on Thursday April 26, 2018 to raise some monies through Rights Issue to help meet the Bank of Ghana’s minimum capital requirement of GH¢400 million by December 2018.
The bank returned to profitability after the new majority shareholders, Republic Bank took over two years ago, registering a GH¢36.9 million at the end of December 2017. It registered a loss of GH¢38 million in 2016.
According to unaudited financials signed by the Board Chairman and the Managing Director, Charles Zwennes and Anthony Jordan respectively, the Bank’s interest income went up by 12.5 percent in 2017 to GH¢310.5 million.
Its books was good as it registered an impairment or bad debt of GH¢21,000 in 2017 compared with GH¢69.7 million in 2016.
Shareholders of the bank were also expected to smile home with basic earnings per share of 12.30 pesewas.
With respect to the balance sheet, customer deposits shot up from GH¢1.55 billion in 2016 to GH¢1.71 billion in 2017. However, loans and advances reduced to GH¢919 million in 2016 to GH¢809 million in 2017.
Its stated capital stood at GH¢146 million in 2017 to GH¢96.1 million in 2016. However, total equity stood at GH¢226 million in 2017, from GH¢141 million in 2016. This is about 178 million short of meeting the Bank of Ghana’s minimum capital requirement of GH¢400 million.