NCB (Cayman) Ltd and NCB Capital Markets (Cayman) Ltd will be integrated into Clarien Bank as part of a deal announced on 2 Feb.
Jamaica’s largest financial services group, NCB Financial Group Ltd, owns NCB (Cayman) Ltd and NCB Capital Markets (Cayman) Ltd, while it is a majority shareholder in Clarien. As such, the intra-company deal isn’t subject to a shareholder vote, although it still needs approval from the Cayman Islands Monetary Authority.
NCB Cayman is a private bank with a Class A (restricted) banking licence. It isn’t a general ‘retail’ bank and only works with individuals or companies with a net worth of $800,000. The sale to Clarien is part of a restructuring that will see Cayman and Bermuda designated as centres of excellence for private banking for the NCB Financial Group.
“By bringing our Cayman banking and related wealth activities under the Clarien brand, we are consolidating complementary capabilities within a single platform that is well positioned to serve these clients effectively,” said Robert Almeida, CEO of NCB Financial Group Ltd.
Cayman impact
The move is expected to create more back-office banking jobs in Cayman as there will be more compliance and legal roles to be filled. It will also mean the bank can offer more products and services to customers in the jurisdiction.
For Cayman-based customers of NCB it means they will now be customers of Clarien. Likewise, NCB’s employees in Cayman will also transition to Clarien Bank Ltd. “We look forward to welcoming clients and colleagues from NCB (Cayman) Ltd and NCB Capital Markets (Cayman) Ltd.,” said Ian Truran, CEO of Clarien Bank Ltd.
A press release issued by NCB Financial Group Ltd was keen to emphasise the move won’t impact the group’s stability. “The transaction is not expected to have a material impact on the Group’s capital adequacy, liquidity or ownership structure.”
NCB Financial Group also said that customers will not be affected. “Clients will continue to be served by their existing relationship teams, and no disruption to day-to-day operations is anticipated.”
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