Summary of Proposed Investment
Project Number
7347
Company Name
FIRSTRAND BANK LTD
Date SPI Disclosed
Apr 26, 1999
Country
South Africa
Industry
other
Status
Completed
Sector
Commercial Banking - General
Department
Regional Industry - FIG Africa
Environmental Category
FI
Previous Events
Approved : Oct 21, 1999
Signed : Jun 28, 2000
Invested : Jul 28, 2000
Project Description
Summary Of Project Information (SPI)
| Project Name: | Republic of South Africa-FRB and/or RMBID |
Region:Sub-Saharan Africa
Sector:
Project No:007347
Projected Board Date:July 8, 1999
Company Name:First Rand Bank Limited and/or RMB International (Dublin) Limited.
Technical Partner and/or Major Shareholders
FirstRand Bank Limited (FRB) is a wholly owned subsidiary of FirstRand Bank Holdings, which in turn is wholly owned by FirstRand Limited. FirstRand Limited is a publicly quoted financial services company on the Johannesburg Stock Exchange. This is a newly established company, arising from the merger of Rand Merchant Bank Holdings and all the financial services companies, including First National Bank Holdings, of Anglo-American Corporation. Principal shareholders in the FirstRand Group are Anglo-American Corporation of South Africa (23.4%) and Rand Merchant Bank Holdings (25%). The overall group has total assets of approximately R184.5 billion and a market capitalization of R35 billion. The banking subsidiary will have a combined book networth of approximately R7 billion and total assets of approximately R122 billion. Any borrowings by RMBI Limited, an off-shore subsidiary of FirstRand Bank Holdings, will be unconditionally guaranteed by FirstRand Bank, Limited.
Project Cost Including proposed IFC investment
IFC type A loan of US$50 million
Location of project and Description of site
Johannesburg
Description of Company and Purpose of Project
FRB is a major commercial/merchant banking group providing medium and long term project finance throughout Africa. IFC will support that activity by providing medium to long term loans to FRB to support its project lending in Africa other than South Africa. Underlying projects are indicated to cover roads, transportation facilities, telecommunications, power generation, mining and hotels.
Environmental Category and Issues
This is a Financial Intermediary (FI) Type 2 project according to IFC’s environmental review procedure. FRB will be required to establish an environmental management system to ensure that projects financed with term lending are consistent with the environmental, health and safety requirements of South Africa and IFC’s safeguard policies and Exclusion List. Category A projects must also comply with World Bank Group environmental, health and safety guidelines and policies, and be cleared by IFC’s Environment Division. In addition, IFC will assess FRB’s capability to carry out environmental reviews.
The is from the InfoShop.
| Date SPI sent to InfoShop: | April 26, 1999 |
“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 974-4384
Sponsor / Cost / Location
Related ESRS/ERS
