Portugal’s Espírito Santo bank to pay US$35 million for stake in Moza Banco of Mozambique

28 July 2010

Maputo, Mozambique, 28 July – Portugal’s Banco Espírito Santo (BES) is to pay US$35 million for a 25.1 percent stake in Mozambique’s Moza Banco, Mozambican newspaper O País reported.

On Monday, BES sent a statement to Portuguese stock market regulator, CMVM saying it had signed a memorandum of understanding to acquire a 25.1 percent stake in Moza Banco.

The statement added that “conclusion of the deal is subject to a final understanding with the current shareholders in terms of some essential aspects of the transaction, the conclusion of a phase of due diligence, which is usual in these processes, and the final approval by the competent regulating authorities.”

The current shareholder structure of the bank is made up of Moçambique Capitais, a Mozambican investment company with 218 investors, with 51 percent, and by Geocapital, a a stake-holding company owned by Macau’s Stanley Ho and Portugal’s Jorge Ferro Ribeiro, with a 49 percent stake.

Following the deal signed by the chairman of Moçambique Capitais, Prakash Ratilal, the BES chief executive, Ricardo Salgado and by Alípio Dias, representing Geocapital, Moza Banco’s shareholder structure will be as follows – Moçambique Capitais, with 50.4 percent, BES with 25.1 percent and Geocapital with 24.5 percent.

The signing of the memorandum of understanding concluded negotiations that had begun in 2009 when Ricardo Salgado visited Mozambique and met with Finance Minister, Manuel Chang and the governor of the Bank of Mozambique, Ernesto Gove.

Currently Moza Banco has around US$54 million in assets, has two branches in Maputo and 53 staff. It operates in the corporate banking and private banking segments. (macauhub)

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