Norman Grindley, Staff Photographer
Michael Lee-Chin (left) and Finance and Planning Minister, Dr. Omar Davies share a laugh during yesterday's press conference, after signing the agreement for AIC Limited's purchase of the 75 per cent of National Commercial Bank shares held by FINSAC Limited.THE CONTROLLING interest in National Commercial Bank (NCB), held by FINSAC Limited, is to be sold to the Canada-based AIC Limited for $6.034 billion.
The Canadian company will pay $2.65 billion for the 75 per cent shareholding in NCB held by FINSAC when the deal is complete on March 18 and the balance in eight annual instalments over nine years, Finance and Planning Minister Dr. Omar Davies said at the signing ceremony yesterday. AIC Limited, is a Canadian fund management company, which is 90 per cent owned by Jamaican-Canadian Michael Lee-Chin.
"This transaction represents the most significant milestone in the programme of financial sector rehabilitation pursued by the government since 1997," Dr. Davies said at the ceremony yesterday. "On completion, the Government's dominant ownership role in the banking sector will be a thing of the past."
But the transaction is subject to approval from local regulatory agencies, Dr. Davies said. The Bank of Jamaica and the Financial Services Commission are now carrying out the required due diligence exercises on AIC.
"Today for me represents a phenomenal opportunity," Mr. Lee-Chin said. "It is a great opportunity for AIC to help revive a national treasure."
It gives AIC the opportunity to "springboard" NCB to become the pre-eminent financial institution in the Caribbean, Mr. Lee-Chin said. "That is our mission."
AIC Limited is the tenth largest fund management company in Canada.
"We will put our weight and backing behind NCB," Mr. Lee-Chin said. He pledged to provide the guidance required to make NCB a bank which serves its customers "one hundred per cent" and give confidence to the staff about their future. "It is a great opportunity for me personally to give back to Jamaica, he said."
