HNB says withdrawal from Acuity Partners acquisition mutual

Tuesday, 5 November 2024 01:22 - - {{hitsCtrl.values.hits}}

Hatton National Bank PLC (HNB) yesterday said the decision to withdraw from the acquisition of Acuity Partners Ltd. was not unilateral, but was instead reached mutually between both parties to the proposed acquisition.

The clarification was with reference to the Daily FT article titled “HNB backs out from acquiring 100% of Acuity Partners,” which is an equal stake joint venture between HNB and DFCC Bank.

Following is the full text of the HNB statement.

HNB wishes to clarify that as outlined in HNB’s announcement on the Colombo Stock Exchange (CSE) on 2 September 2024, the completion of the acquisition was subject to obtaining relevant statutory and regulatory approvals and the two parties entering into an appropriate share sale and purchase agreement to safeguard the interests of the Bank.

Although HNB managed to secure all the relevant approvals in time, the two parties could not come to full agreement on the terms and conditions governing the sale and purchase agreement, which led to the mutual decision to withdraw from the transaction.