Reserve Bank of Malawi (RBM) has rejected Mpatsa Holding Limited a 49 per cent acquisition in South Africa’s Mybucks banking corporations.
A statement from Mpatsa Holdings management says RBM has not approved the acquisition on the grounds that Mpatsa assets are in the form of fixed assets which may not be liquidated quickly should there be need in the future to provide additional support in the bank.
But Mpatsa Holdings says surprisingly this is not a criteria for one to invest in a financial institution and has never been to any of the existing bank’s shareholders.
“We further pointed out should such a situation arise, there are several options available to us such as dilution of shareholding, liquidation of assets, obtain financing etc but all our pleas fell on deaf ears,” says the statement.
Mpatsa says the rejection of the acquisition is not only a blow to the country’s economy but a contradiction to the new administration of Tonse alliance of encouraging local empowerment and job creation.
MyBucks S.A. is a FinTech company domiciled in Luxembourg that delivers financial services through technology. MyBucks operates in six African countries through its brands GetBucks, GetSure, MBC and Opportunity Bank.
Through its investment arm, Mpatsa Holdings Limited, owned by Jimmy Koreia Mpatsa, has interests in several sectors of the country’s economy, namely agriculture, mining, hospitality, real estate, pharmaceuticals, distribution and marketing.Follow and Subscribe Nyasa TV :