MANZINI: Swaziland Building Society (SBS) shareholders want their institution to become a bank to be called SBS Eswatini (SBE) as soon as possible.
SBE Chairman, Elijah Simelane this morning said their shareholders have approved a special resolution to convert into a bank. The resolution, taken at a special general meeting in Manzini on Friday, mandates management to launch a series of processes that include registering an operating company and thereafter seek approval to become a bank from the Financial Services Regulatory Authority (FSRA) and the Ministry of Finance. That approval will clear the way for the new company to approach the Central Bank of Eswatini with an application for a commercial banking licence.
Mr. Simelane said an overwhelming 94.67% or 2684 of a nearly 3000-strong shareholders turnout voted YES. The requirement of the regulator overseeing the process required that the resolution be approved by not less than 51% of shareholders members.
However, the vote was not unanimous. The outliers were 42 shareholders representing 2.89% who voted NO while 47 or 1.66% abstained.
The winning 94.67% voters represented the largest value of E691,122,613.75 worth of shares. “This means we have met the first condition set by the regulator that not less than 51% value of shares vote YES”, Mr. Simelane said.
The 2.89% of members who voted NO represented E5,861,303.55 or 0.45% value of shares while the 1.66% who abstained represented E6,582,340.32 worth of shares, or 0.6%.
“The special general meeting was an overwhelming success due largely to the comprehensive member education we conducted,” declared SBS Managing Director Mbali Sibanyoni.
Ms Sibanyoni reflects the confidence that the process will be smooth and seamless and that the target of securing a banking licence by April 2025 is well within reach: “In our customers’ eyes, we are a bank. Because we are not new in this financial services space, we are confident that it will not take long to secure our banking licence sooner than the normal period.”
Jm/today/19.11.2024
It was my bank. Congratulations! The trust in the management has made me a satisfied customer.
They are ceetainly going strong. No doubt, the Central Bank will licence them soon.