JMMB gets approval for its first commercial bank in Dominican Republic Loop Jamaica

The content originally appeared on: Jamaica News Loop News

JMMB Holding Company, SRI and its parent JMMB Group Limited have received final regulatory approval for the purchase of 100 per cent of the shares in Banco M?ltiple Bell Bank, S.A. in the Dominican Republic.

It has also received the go-ahead to proceed with a merger of the newly bought entity with Banco Ahorro y Cr?dito, JMMB Bank, S.A., a savings and loan bank acquired by JMMB Group in 2014.

This acquisition will provide JMMB Group with its first commercial bank in the Dominican Republic.

“This acquisition and merger complement our regional diversification strategy as we seek to leverage operational efficiencies and synergies and introduce innovative financial solutions while fulfilling the needs of our clients across the Caribbean,” stated JMMB Group CEO Keith Duncan.

He added: “The group is now poised to expand its range of offerings in the Dominican Republic, as an integrated financial services provider, with this approval.”

Duncan noted that this development is in line with JMMB’s commitment to pursue inorganic growth by constantly exploring market opportunities that fit within the group’s diversification strategy.

He said JMMB is also seeking to deepen its market share in the countries in which it operates, namely Jamaica and Trinidad and Tobago.

The merger and integration of both banking entities are expected to take place within the next six months, starting from July 28, 2022, or based on operational readiness, whichever comes sooner, based on the regulatory approval granted by the Monetary Board of the Dominican Republic.

Since starting operations in the Dominican Republic in 2007, JMMB Group’s operations in that country now include stock brokerage-JMMB Puesto de Bolsa S.A.; fund management – JMMB Funds; savings and loans bank – Banco Ahorro y Credito Rio (Banco Rio); and pension fund administrator – AFP JMMB BDI, S.A.

JMMB’s performance in the Dominican Republic has continued to show positive results, as evidenced by its contribution of 23 per cent, or J$2.8 billion, to the Group’s 2021/22 financial year net profit of $12.02 billion.

This strong performance in the Dominican Republic was underscored by credit rating agency, Pacific Credit Rating (PCR), which recently upgraded Banco Ahorro y Credito Rio (Banco Rio) JMMB Bank’s rating to a BBB+; while the investments arm, Puesto de Bolsa, received an A- rating from credit rating agency, Feller Rate.