The Reserve Bank of Vanuatu (RBV) has granted its final approval for Wanfuteng Bank Limited (WBL) to acquire 100 percent ownership over the European Bank Limited (EBL).
The RBV made the announcement in a statement yesterday.
According to RBV’s announcement, the final approval for the acquisition was endorsed by the Board of Directors on their meeting on May 8th 2018. The actual issuing of the license was completed on May 4, 2018 after undergoing due diligence process.
Wanfuteng Bank Limited is owned by Wanfuteng Limited, a locally incorporated company which is owned by a group of Hong Kong based companies.
The bank has a vision to build a financially strong bank, from the provision of basic retail banking products and services, to commercial products. The capitalizing of the bank’s existing reserves and retained earnings, together with the allotment of new shares, has increased the capital of the bank to USD6 million, thus, allowing the bank to grow and participate more effectively in the local economy, RBV says.
The former EBL held a full Vanuatu Banking Licence issued prior to the enactment of the Financial Institutions Act. On commencement of the Act in 1999, EBL and other licensed banks were taken to be licensees, as stipulated under Section 10 of the Act. EBL therefore had been in operation ever since. EBL’s banking business has been predominantly international rather than domestic, and operates more as a private bank in Vanuatu.