The CIBC FirstCaribbean International Bank Ltd (FirstCaribbean) is selling its business in Grenada to the Grenada Co-operative Bank Ltd after receiving approval from the Eastern Caribbean Central Bank.
The Barbados-based bank is expected to finalise the sale by July 14.
In a press release, CIBC FirstCaribbean’s managing director for Barbados and OECS Donna Wellington said, “We are pleased at the approval of the sale in Grenada. This helps us deliver on our strategy of simplifying our business. We give our clients in Grenada our commitment that while we are working with Grenada Co-operative Bank Ltd to complete the transfer, we will continue to provide them with first class service right until the moment we close our doors for the last time and our employees with the best possible work experience.”
Commenting on the sale, managing director of Grenada Co-operative Bank Larry Lawrence said, “We wish to thank all the stakeholders involved in this process thus far and express our delight in having received the approval of the sale. We are working assiduously to ensure a smooth transition of FirstCaribbean’s customers and look forward to welcoming them to the co-op bank family.”
The CIBC FirstCaribbean – a member of the Canadian-based CIBC Group – offers a full range of market leading financial services in the areas of retail and business banking, wealth management and capital market. They have a market capitalisation of US$1 billion and operate in 13 Caribbean countries.
At the end of the first financial quarter for this year, FirstCaribbean reported a net income of US$68.1 million, a 51 per cent increase from US$45.2 million reported for the same period last year. After adjusting for US$0.8 million of operating expenses relating to previously announced divestitures, adjusted net income was US$68.9 million. The uplift in financial performance was attributed to higher US interest rates which positively impacted the US dollar-denominated businesses.
In 2021, CIBC FirstCaribbean announced the proposed divestiture of its business in St Vincent, Grenada, St Kitts & Nevis and Dominica. Last month FirstCaribbean successfully transferred its St Vincent clients to Bank of St Vincent & Grenadines.