Dipo Olowookere
By Dipo Olowookere
Over a year ago, it was reported that an investor, Camey and Rock Business Consulting Limited, had offered to inject N4.3 billion into Resort Savings and Loans Plc.
The money was to cover the purchase of all the unissued 8,670,267,596 ordinary shares of the bank to the new investor, who was coming to recapitalise the business in line with the directive of the Central Bank of Nigeria (CBN), which regulates the sector.
Since then, not much has been heard about the transaction and on Wednesday, Resort Savings gave an update to the investing public.
In its disclosure today, the lender said the process was still ongoing and that the share purchase agreement with Camey has been executed.
“The bank has executed a share purchase agreement with Camey & Rock to the tune of N4.3 billion following Camey & Rock’s strategic equity investment in the bank.
“The cash will be injected into the bank in tranches. The activities relating to this transaction are still ongoing,” a part of the notice said.
Speaking further, the financial institution said in order to “inject the next tranche of cash into the bank to kick-start full operations, Camey & Rock has requested for an extension from the CBN to enable it to conclude the recapitalisation exercise of the bank outside the deadline of December 31, 2020, to June 30, 2021.”
It explained that this request is to resolve some administrative and basic regulatory issues, saying “so far, the investor had assisted the bank in resolving some legal and operational issues in order for the bank to come into operations very soon.”
It further said Camey & Rock has also assisted in motivating the staff, resolved some critical financial obligations, helped in the relocation of the company’s head office to a new location in Lagos and is also helping on the filing of the outstanding financial statements.
“In the circumstance, Resort Savings and Loans Plc is waiting for the response of the CBN to Camey & Rock request,” the disclosure noted.
Resort Savings expressed confidence in the ability of the new investor to transform the company and increase the wealth of stakeholders and deliver impressive returns to shareholders in the near future.
