UAE-based Growmore Group acquires Lithuanian bank
Medicinos Bankas operates 51 branches in Lithuania
Dubai: Growmore Group, a UAE-based investment and financial services firm, has entered into a strategic agreement to fully acquire Medicinos Bankas UAB, a retail bank in Lithuania with assets of $395 million (Dh1.5 billion).
Growmore Group is a global investment and financial services firm that has businesses across the UAE, UK, Switzerland, India and the Caribbean.
The acquisition will mark the expansion of Growmore’s banking sector investments into the European Union (EU), backed by its expertise in financial services including offshore banking and asset management.
Ernst & Young and Sorainen were Growmore’s financial and legal advisors on the deal, respectively. The Bank’s sale process was managed by Deloitte and the legal firm TGS Baltic.
The transaction is scheduled to be completed once the approvals of the Bank of Lithuania and the Coordination Commission for Protection of Objects of Importance to Ensure National Security of the Republic of Lithuania will be received.
“Konstantinas Karosas and Western Petroleum Limited have entered into an agreement to sell 137,750 (one hundred thirty seven thousand seven hundred fifty) ordinary registered shares, constituting 100 per cent of the share capital of Medicinos bankas UAB to Nitin Shelke, the Chairman and Founder of Growmore Group, an investment and financial services conglomerate with businesses across the UAE, UK, Switzerland, India and other regions,” said a statement from the Bank of Lithuania, the Lithuanian Central Bank posted on Nasdaq.
In the UAE, Growmore Group is licensed by the Dubai Economic Department and has recently received an in-principal approval for Category 3C license from the Financial Services Regulatory Authority of ADGM to provide asset management services to its clients.
“This deal marks a strategic step in Growmore’s vision of evolving into a full-suite financial services conglomerate. Operating in a highly competitive and high-potential market, Medicinos Bankas is well capitalized and has reported continued growth over the years,” said Nitin Shelke, Chairman of Growmore Group.The operations of Medicinos Bankas, including its 51 branches in the country, will continue as normal, and with primary focus on lending for small and medium businesses, personal banking services and agricultural lending.
With Growmore focusing on strategic investments in funding SMEs and startups, the acquisition serves as a perfect fit, with Lithuania recording consistent growth in demand for SME funding.
“We believe in the tremendous value-add that this acquisition will bring with its strategic location offering us the springboard to further strengthen our footprint across the EU,” said Animesh Saxena, Chief Investment Officer of Growmore.