A person may not obtain or divest, directly or indirectly, a shareholding in a Bank equal to or exceeding five percent (5%) of the sum of the issued ordinary shares and financial instruments convertible into ordinary shares, without first having applied for and received the prior written approval of the Central Bank.
A person may not increase, by any margin, a shareholding in a bank above five percent (5%) of the sum of the issued ordinary shares and financial instruments convertible into ordinary shares that they may already hold, without first having applied for and received the prior written approval of the Central Bank
Prior written notice to the Central Bank is required if a person intends, in relation to a bank, to:
obtain or divest a Significant or Controlling Shareholding; or
obtain or divest the right to exercise voting rights in relation to a Significant or Controlling Shareholding; or
increases their shareholding to a level which would result in his aggregate holding qualifying as a Significant or Controlling Shareholding; or
increases the number of voting rights they are entitled to exercise to a level constituting him as a Significant Shareholder or Controlling Shareholder.
Should a person obtain or divest a shareholding exceeding five percent (5%) of the sum of the issued ordinary shares and financial instruments convertible into ordinary shares in a bank without prior written Central Bank approval, he is required immediately to apply for Central Bank approval. Unless and until Central Bank approval has been obtained, this shareholder is prohibited, in relation to that part of his shareholding which exceeds five percent (5%) of the bank’s issued ordinary shares (excess shareholding), from exercising any related voting right and receiving any related dividend. The Board must ensure that these prohibitions are enforced, and that any related dividends are retained by the bank until a final decision has been made by the Central Bank.
A person who obtained a shareholding exceeding five percent (5%) of the sum of the issued ordinary shares and financial instruments convertible into ordinary shares in a bank without prior written Central Bank approval may not dispose of the shareholding without the prior written approval and under the direction of the Central Bank.
No person is permitted to obtain or increase a Significant or Controlling Shareholding in a Bank, whether held directly or indirectly, unless the person obtains in advance the Central Bank’s prior written approval. Similarly, no person is permitted to obtain or increase voting rights in a bank up to or above a level equivalent to that of a significant or controlling shareholding unless the person obtains in advance the Central Bank’s prior written approval.
Banks must notify the Central Bank where a shareholding of (1%) one percent or more of the issued ordinary shares and financing instruments convertible into ordinary shares is obtained.