Finance Bank to contribute K90 million to the treasury, begins listing process on LuSE

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Raj manFinance Bank Zambia (FBZ) will contribute ninety million kwacha (K90 million) to the government treasury for year ended 31st December,2014.

And the bank has announced the commencement of the processMathani of listing its shares on the Lusaka Stock Exchange.

Speaking during a Breakfast Meeting on the quoting of all shares on Luse in Lusaka today, FBZ Chairman Rajan Mahtani says the bank has deposited a base of K2.4 billion and a loan book size of over K1.4 billion as at 31st December 2014.

Mr. Mahtani says the bank which started with one branch and has now grown to 58 outlets represented in all provinces and 122 ATMs.

He adds that by the end of the first quarter of 2015; the bank will have 62 outlets and 172 ATMs.

He says the bank’s quoted status on the Lusaka Stock Exchange is being followed up closely to ensure that the date for the actual listing will not exceed 31st March, 2015.

Mr. Mahtani adds that despite all odds, the bank is confident of listing on the London Stock Exchange very soon.

Speaking at the same event, Securities Exchange Commission (SEC) Chairman Chintu Mulendema says the move taken by Finance Bank Zambia is a positive one in the sense that it will provide an alternative avenue for investment. READ FULL SPEECH BELOW

SPEECH BY DR. RAJAN MAHTANI, CHAIRMAN OF FINANCE BANK ZAMBIA PLC ON THE QUOTING OF ALL THE SHARES ON THE LUSAKA STOCK EXCHANGE HELD AT THE RADISSON BLU HOTEL, LUSAKA ON TUESDAY 13TH January, 2015 at 7.30hrs.

 

The Secretary to the Treasury and officials from the Ministry of Finance

Governor of the Bank of Zambia, Deputy Governor and officials from the Bank of Zambia

The Chairman and CEO of the Security Exchange Commission and representatives of the Lusaka Stock Exchange

Officials from the Zambia Revenue Authority

Chief Executives, Representatives of Corporations both private and public

Members of the Diplomatic Corps, the Judiciary, Media and all religious bodies

Distinguished invited guests,

Shareholders and Directors of Finance Bank and its subsidiaries Microfinance Zambia Limited, Leasing Finance Company Limited and Finance Building Society.

Ladies and Gentlemen

And suffice it to say all protocols observed

– George Burns said:-

The secret of a good sermon is to have a good beginning and a good ending; and to have the two as close together as possible
I will try to achieve just that this morning – Good morning to you all and welcome to this business breakfast of Finance Bank Zambia PLC.

The Dawn of this Day has been long been coming – it was a seed of desire and hope within my heart as Founder of Finance Bank that one Day Finance Bank Zambia PLC  will go public and people of this Great Nation will share some of  the spOils of God’s grace over this Institution.

 I thank Almighty God for His faithfulness, I thank each and every one of you whom I believe are stakeholders, for seeing Finance Bank Zambiathrough thus far and enabling me as Chairman of the Board to see this day, when one of my earnest desireS is fulfilled.

 

 Jeremiah 9:23-24 says, “ Let not the wise man boast of his wisdom or the strong man boast of his strength or rich man boast of his riches, but let him who boasts, boast about this : that he understands and knows Me “ . Today I can truly boast that my God is Faithful and delights in bringing desires to pass and delights in the prosperity of His servants!

It is Franklin D Roosevelt who said“Happiness lies in the joy of achievement and the thrill of creative effort.“ As Chairman of the Board of Finance Bank, I can truly say to our Team ‘It has been more than a thrill of Roller Coaster Rides! An up, downs, twist and turns, unexpected dark tunnels including ‘Full house heart By Passes’ but we remained steadfast and our hope never failed! We strived to be the best to meet every benchmark.

 

I remain indebted to each and every-one of our Management team for their loyalty, commitment, hard work and sacrifice.

 

I agree with Henry Ford who said, Coming together is a beginning; keeping together is progress; working together is success.That is the story and history of FBZ.

 

STORY;

 

Licensed in 1986 with first operations in 1987, Finance Bank Zambia Limited was a ‘Greenfield operation’ which has over the years strived to meet its Mission Statement –

to be a first class financial services institution with a major and profitable presence in our chosen markets. Our vision is to be the bank of choice to all our Stakeholders in Zambia, the Region and in International Markets.

 

Our stakeholder Charter covers:-

 

Customer – to provide true relationship banking based on mutual respect, integrity, product innovation and service delivery by anticipating our customers’ requirements and responding to their business needs.

–          To provide cost effective, customer driven, market focussed customised products and services.

 

Shareholders – to building a presence in Sub-Saharan Africa by delivering a strong and consistent financial performance that provides appropriate returns to our shareholders (previously private) now public.

 

Employees – to sustain a working environment that attracts, retains and develops committed employees who desire to share in the success of the Bank

 

Community – to share a common destiny with our communities;

` to use our human and financial resources in order to foster growth and vitality.

–          To support our communities with funding and professional expertise and

–          to encourage the volunteer efforts of our employees, particularly in projects and support education, empowerment of the youth and the vulnerable in Society.

–          Our Corporate Social Responsibility programme acknowledges our role to support the community that supports us,

–          We undertake to, on a regular basis, provide funding or other needed support to;-

–          Children, the aged and disabled and other ‘support institutions’

–          The promotion of education and related initiatives;

–          Local or regional sports initiatives that support local charities as well as cultural events that support or involve local communities

 

It is David Brinkley who said A successful man is one who can lay a firm foundation with the bricks others have thrown at him.Well, we have had more bricks than one needs, but our foundation is firm with principLES of honesty, hardwork, reliability, adoptability and innovation.

 

Mark Twain said “To succeed in life, you need two things: ignorance and confidence. It is tough to ignore painful lies and insults that have been costly but our confidence that truth and justice will always prevail has kept the journey going and brought us to this Day.

 

– This shows the indomitable spirit of the Shareholders, Board and Management of the Bank 

 

FBZ brief history

 

 

Finance Bank Zambia Limited was converted into a PLC on 16th September, 2014;and subsequently a quoted company on the Lusaka Stock Exchange on18th November 2014. This was achieved by the tireless, dedicated and committed efforts of Finance Securities Limited to whom we are extremely grateful.

 

 

 

-FBZ started with 1 branch and has now grown to 58 outlets represented in all provinces in Zambia and 122 ATMs… By the first quarter of 2015 FBZ would have 62 outlets and 172 ATMs.

 

– FBZ has a deposit base of K2.4billion and loan book size of over K1,4(billion) as at 31 December 2014

 

-FBZ will contribute (only for the year ended 31st December 2014) to the treasury of the Government K90 million

 

– The bank began with a workforce of 25 and has since grown to a workforce of 820 making it one of the largest employers in Zambia.

 

– FBZ is Proud of our gender balance – 60% of management is women. We have a well qualified and experienced team

 

– New products such as ZRA E-payments, Makumbi Banking (A no frills payment solution targeted at the banked and the unbanked)

 

-5000 POS(s) terminals are in the process of being distributed

 

-Malawi will be fully operational by the end of this month.

 

 

 We have commenced our process of “listing” by ensuring that all our shares are now ‘quoted’ on the Securities Exchange Commission and to this effect will be presented with confirmations by the Securities Exchange Commission, Chairman, Mr. Chintu Mulendema, this morning. Being quoted on the Lusaka Stock Exchange entitles the Bank to trade on the ‘quoted tiers’. 

 

Distinguished Guests, Ladies and Gentlemen, although the main reason why most companies decide to list on the stock exchange is to raise capital, ours has been driven by the fact that listing comes with a number of qualitative value addition advantages, which, going forward will take Finance Bank to another level. I would like to mention just a few:-

 

  1. 1.      Firstly, our clients, customers, suppliers, business associates, regulators, financial analysts and other stakeholders frequently perceive companies which are quoted or listed as being more stable compared to those that are not. Having “PLC” after a business name represents permanence, stability and credibility.

Moreover, it conveys the dedication of its shareholders towards ‘good governance’ in ensuring the success of their business beyond the immediate future. In this regard the business is likely to draw more customers, partners and attention from both the local and international communities.

 

  1. 2.      Secondly, there is potential for citizens, employees, foreign and institutional investors to become Shareholders of the Bank, thus widening their choice of Zambian Investments.

 

Our ‘Quoted Status’ on the Lusaka Stock Exchange is being followed up closely to ensure that the date for the actual listing will not exceed 31st March this year. Despite all odds, we are almost confident  also of listing on the London Stock Exchange soon thereafter.

 

I trust that all of you will continue supporting our endeavour to achieve our vision of “Banking with Pride”. We invite you to continue to focus on our making Finance Bank’s experience real for you!

 

 

I would like to invite all citizens from every walk of life of this great Nation, investors and market players to have a ‘Piece of Lion’s Share’! You will not be disappointed. We are home grown, stood the tests of time, gone to corners of Zambia where no one has ever gone, we are going regional and this ‘King of the Jungle’ is here to stay!!! Invest in FBZ and invest for you and children – it is an investment that will roar and grow.

Linda Knox was in her eighties when she died of malnutrition in her Chicago apartment. Apparently she’d lost her sight, and her mind had failed. Among her belongings they found the equivalent of $186,000 in uncashed cheques, $206,000 in works of art, $440,000 in jewels, and $56,000 in antiques. In all, she had an estate worth over $900,000—yet she died alone in poverty. And what’s worse, she’d drawn up a will leaving these things to friends and family members. But she never filed it with the courts and it was never executed, so her beneficiaries were unaware of their inheritance.

Distinguished guests, ladies and gentlemen, let me,  once again, thank each and every one of you for your confidence and genuine support. I also thank my colleagues on the Board for being focused, supportive and dependable. It is indeed a rare privilege for me to work with such distinguished board members (and management) and share the joy of leading FBZ to this enviable position.  May Our Lord richly bless you!