Republic sees profits up 31.3%

Profits at Trinidad and Tobago-based Republic Bank (RBTT) jumped 31.3% to BDS$203mn (US$102mn) at the end of September, compared to the same time last year, the bank said in a statement. According to RBTT's chairman and managing director Ronald Harford, the bank's positive profit result marks a highly successful year of operations highlighted by the purchase of Barbados National Bank and Banco Mercantil of the Dominican Republic. RBTT assumed control of defunct Dominican bank Mercantil in September, injecting US$35.7mn into the bankrupt bank as its fee. As part of the agreement, the Dominican central bank agreed to pay RBTT a maximum of US$171mn to make up for the loss of Mercantil assets. The take-over of Mercantil follows on from RBTT's recent acquisition of a 57% stake in Barbados National Bank (BNB). The Barbados government agreed to sell BNB to RBTT in March for about US$590mn.The acquisition increased the RBTT Group's total assets to US$3.7bn. RBTT posted earnings attributable to shareholders of US$323mn for this year through September, up 40% (US$93mn) compared to the same time last year, local daily Trinidad Express quoted parent group RBTT Financial Holdings chairman Peter July as saying According to July, RBTT generated 62% of its operating profit outside Trinidad and Tobago during the January-September period, up 43% compared to the same period last year with the subsidiaries in the Dutch Caribbean and Jamaica pinpointed as RBTT's major foreign shore profit generators. The bank has also increased its shareholding in local insurance conglomerate Guardian Holdings Ltd (GHL), upping its stake in GHL by 15.7% through the issue of new stock, July said. Trinidad and Tobago is well poised for growth, deterred only by a deteriorating social environment, Harford said adding that in the coming year, the bank is look forward to the significant opportunities that the future promises for the country's energy based economy and for the new markets that Republic is accessing in the Caribbean territories.