UT Bank Seals $10 Million Loan Deal

UT PIXSUT Bank has signed a 10-million-dollar subordinated loan agreement with Amethis Finance, a Paris-based private equity firm. The loan agreement which is subject to approval by the Bank of Ghana (BoG) will boost UT Bank’s capital base and allow the bank to efficiently grow its lending to Small and Medium Enterprises (SME) sector in the country.

At a signing ceremony in Accra, Prince Kofi Amoabeng, Chief Executive Officer of UT Bank expressed the bank’s appreciation to the Amethis Finance for joining UT Bank’s list of international partners.

According to him, Amethis Finance brings to the table its vast experience, as well as exposure to its connections across Africa and the Mediterranean.

He said the partnership with Amethis Finance was good for SMEs in the country, stressing that it would enable the bank to lend loans to SMEs over a long-term period.

Additionally, he said, it would also enable the bank to reduce the prices of its products to the SMEs.  Mr. Amoabeng stated that UT Bank’s strategy was to strengthen its positioning in the SME market and develop its retail footprint with branch expansions and the use of technology to attract cheap deposits.

Pearl Esua-Mensah, Deputy Managing Director of UT Bank, noted that the additional capital injection by Amethis Finance was timely and would enable the bank to reach out to more SME customers as well as extend the tenures of their loans.

The Chief Executive Officer and Managing Partner of Amethis Finance, Laurent Demey, observed that the company’s aim was to invest in local banks in Africa and UT Bank fits perfectly with Amethis strategy to support mid-size fast growing local banks.

According to him, they were impressed by the sound performances chalked by the bank as well as its innovative approach towards SME lending.

Laureen Kouassi-Olsson, Investment Director of Amethis Finance disclosed that Amethis Finance was founded in 2012 with a total investment capacity at inception of $300 million.

Amethis is an investment company dedicated to Africa and was established by a team of experienced investors and bankers.  By Joseph Edu Archison   

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