Sunday, 24 May 2015
Last updated 1 day ago
Mar 3 2010 | 8:43am ET
An investor group led by the Canadian Imperial Bank of Commerce and the Carlyle Group has taken a majority stake in Bermuda’s biggest independent bank.
The CIBC-Carlyle group, which includes Tiger Management founder Julian Robertson, has poured $550 million into the Bank of N.T. Butterfield. CIBC and Carlyle each contributed $150 million, with each owning a 22.5% stake in the bank. All told, the investor group now owns 82.5% of Butterfield.
Because of the recapitalization, Fitch Ratings has downgraded the bank’s Individual Rating to 'F' from 'C'. At the same time, however, Fitch has affirmed the bank’s long-term Issuer Default Rating (IDR) at 'A-' and short-term IDR at 'F1'.
"The individual downgrade reflects Fitch's view that the bank's level of embedded losses in the securities portfolio necessitated the capital raise. Additionally, BNTB's operating challenges were isolated and not reflective of Bermuda's banking sector conditions," the ratings agency wrote in a press release.
Butterfield has $9.6 billion in assets and offers retail and corporate banking and treasury services in Bermuda, Barbados and the Cayman Islands.
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…