The bank acquired 70% of the shares of Universal Bank and annulled the license which it had been granted to operate in the microfinance segment.
The Superintendency of Banks authorised CANAL BANK, SA (BMF) General Banking License, to change its name from CANAL BANK, SA (BMF) to CANAL BANK, SA and canceled and annulled the banking license for Microfinancing granted to CANAL BANK, SA (BMF).
In order to analyze the proposed purchase of the bank´s assets by Panamanian and foreign banking groups, the deadline for completing the process has been extended by 90 days .
The Superintendency of Banks notes that "in the first phase, non-binding expressions of interest were received from 11 banks. In the second phase, 2-binding bids were received from a group of four banks, which maintained their interest in the assets and liabilities or shares of Banco Universal, S.A. "
Following the suspension of operations in June, the Banco Universal de Panama entered into an organizational process that culminated with the sale of assets and liabilities of the company.
The invitation to participate in the expressions of interest was issued to all banking institutions with a general license in the Panamanian banking system. The finalists in this auction, as reported Prensa.com, are Canal Bank and Lafise.
The market regulator of Panama has indefinitely suspended the license of the brokerage firm Clever Financial Investment Services, linked to Banco Universal.
A resolution by the Superintendency of Securities said that after performing an inspection at the brokerage firm, " it was found that the brokerage firm maintains only three bank accounts, all of them with Banco Universal ", namely own / administrative account, third parties / customers account and a deposit account. "
On August 10 general license banks interested in the assets of the entity may submit offers.
The reorganizing entity designated by the Superintendency of Banks explained that the first to be invited are general license banks in the country, who will have 20 days to submit their proposals for all or part of the assets.
Anpanama.com reports that "...Once proposals have been submitted, the most feasible will be chosen, and then passed on to an analysis phase after which, finally, the company who will buy the assets of Banco Universal will be decided. "
A reorganization process has begun to verify the entity's assets and its real value, and leave it in condition for its eventual sale.
As part of the reorganization process ordered by the Superintendency of Banks which will take 120 days, bank customers with accounts up to $2,500 will be allowed to make withdrawals. When the reorganization process is complete, one of the possible scenarios is the eventual sale of the entity in which local market banks could be interested, according comments made by industry sources to Prensa.com.
Small and medium-sized customers of the institution which is under intervention can not access funds in their accounts.
Substantial losses are some of the effects produced by the suspension of Banco Universal, product of retention of financial assets. This situation could worsen, if immediate action is not taken to help overcome the difficulties.
After detecting failures and financial vulnerabilities, the Superintendency of Banks has announced the decision to take over administrative and operational control of Banco Universal.
From a statement issued by the Superintendency of Banks of Panama:
Through resolution SBP-0093-2015 the Superintendency of Banks, with the unanimous consent of its board, ordered the seizure of administrative and operational control of Banco Universal, S.A., effective from 3 pm on June 5 this year, based on the provisions of Article 131 of the Banking Law.