Royal Bank of Trinidad and Tobago
Encyclopedia
The Royal Bank of Trinidad and Tobago (RBTT) was one of the larger commercial banks of Trinidad and Tobago
. As a subsidiary of RBTT Financial Holdings Limited, RBTT was one of the largest commercial banking corporations in the Caribbean
region with a group asset base of over US$6.2 billion
dollars. The RBTT group of companies operated several commercial banking businesses in other neighbouring islands, as well as various investment holdings in various parts of the Trinidad and Tobago economy
.
On 26 March 2008, RBTT Shareholders voted 98.18 percent in favour of selling the bank to the Royal Bank of Canada
(RBC), who previously had divested the bank in 1987. On 16 June 2008, RBC completed the acquisition. RBTT Financial Holdings Limited and RBC Holdings (Trinidad & Tobago) Limited, a subsidiary of RBC, will amalgamate and continue as a wholly owned indirect subsidiary of RBC. The head office of the Caribbean operations for RBC will be located at Port of Spain
, the capital of Trinidad and Tobago, and the site of RBTT's headquarters.
. Union Bank, like many other Canadian
banks, was drawn to the West Indies by the flourishing trade between the Canadian Maritimes (i.e. Nova Scotia) with the wider West Indies region. In 1910 the Royal Bank of Canada
(RBC) acquired the Union Bank. In time RBC expanded its operations from a single location to several different branches across Trinidad and Tobago.
In 1962, Trinidad and Tobago gained its independence from the United Kingdom
. With several independent countries in the former British West Indies
engaging in left-leaning policy experiments, seen by many as heading down the road towards socialism
or "Communism", many Canadian banks were seeking to sever their ties in the Caribbean region so as to avoid having their operations nationalized.
By 1986 RBC had divested itself of 53% of its shares in RBTT. Then in 1987 RBC divested itself of its remaining shares in RBTT, putting 100% of its shares in the hands of local shareholders, including 21% in the hands of bank employees. To propel future growth, the bank created the parent holding company known as the Royal Bank of Trinidad and Tobago, Limited for banking operations. In 1990 RBTT decided to transform The Royal Bank of Trinidad and Tobago Limited into a full-fledged regional institution offering financial services across the Caribbean.
On 22 April 2002 the bank celebrated its 100th anniversary and rebranded itself legally to the acronym form of the Royal Bank of Trinidad and Tobago or "RBTT". This led to a regional rebranding of all RBTT businesses of the financial group. Today, all commercial banking subsidiaries carry the RBTT brand in their official name.
(TTSE) under the symbol RBTT. RBTT shareholders are receiving both cash and RBC shares for their stock in RBTT. RBC is considering listing depository receipts for RBC shares on the TTSE.
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Trinidad and Tobago
Trinidad and Tobago officially the Republic of Trinidad and Tobago is an archipelagic state in the southern Caribbean, lying just off the coast of northeastern Venezuela and south of Grenada in the Lesser Antilles...
. As a subsidiary of RBTT Financial Holdings Limited, RBTT was one of the largest commercial banking corporations in the Caribbean
Caribbean
The Caribbean is a crescent-shaped group of islands more than 2,000 miles long separating the Gulf of Mexico and the Caribbean Sea, to the west and south, from the Atlantic Ocean, to the east and north...
region with a group asset base of over US$6.2 billion
1000000000 (number)
1,000,000,000 is the natural number following 999,999,999 and preceding 1,000,000,001.In scientific notation, it is written as 109....
dollars. The RBTT group of companies operated several commercial banking businesses in other neighbouring islands, as well as various investment holdings in various parts of the Trinidad and Tobago economy
Economy of Trinidad and Tobago
Trinidad and Tobago has earned a reputation as an excellent investment site for international businesses and has one of the highest growth rates and per capita incomes in Latin America. Recent growth has been fueled by investments in liquefied natural gas , petrochemicals, and steel. Additional...
.
On 26 March 2008, RBTT Shareholders voted 98.18 percent in favour of selling the bank to the Royal Bank of Canada
Royal Bank of Canada
The Royal Bank of Canada or RBC Financial Group is the largest financial institution in Canada, as measured by deposits, revenues, and market capitalization. The bank serves seventeen million clients and has 80,100 employees worldwide. The company corporate headquarters are located in Toronto,...
(RBC), who previously had divested the bank in 1987. On 16 June 2008, RBC completed the acquisition. RBTT Financial Holdings Limited and RBC Holdings (Trinidad & Tobago) Limited, a subsidiary of RBC, will amalgamate and continue as a wholly owned indirect subsidiary of RBC. The head office of the Caribbean operations for RBC will be located at Port of Spain
Port of Spain
Port of Spain, also written as Port-of-Spain, is the capital of the Republic of Trinidad and Tobago and the country's third-largest municipality, after San Fernando and Chaguanas. The city has a municipal population of 49,031 , a metropolitan population of 128,026 and a transient daily population...
, the capital of Trinidad and Tobago, and the site of RBTT's headquarters.
History
RBTT's history in Trinidad and Tobago began in 1902 when the Union Bank of Halifax, based in Nova Scotia, Canada, opened a branch in Port of SpainPort of Spain
Port of Spain, also written as Port-of-Spain, is the capital of the Republic of Trinidad and Tobago and the country's third-largest municipality, after San Fernando and Chaguanas. The city has a municipal population of 49,031 , a metropolitan population of 128,026 and a transient daily population...
. Union Bank, like many other Canadian
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...
banks, was drawn to the West Indies by the flourishing trade between the Canadian Maritimes (i.e. Nova Scotia) with the wider West Indies region. In 1910 the Royal Bank of Canada
Royal Bank of Canada
The Royal Bank of Canada or RBC Financial Group is the largest financial institution in Canada, as measured by deposits, revenues, and market capitalization. The bank serves seventeen million clients and has 80,100 employees worldwide. The company corporate headquarters are located in Toronto,...
(RBC) acquired the Union Bank. In time RBC expanded its operations from a single location to several different branches across Trinidad and Tobago.
In 1962, Trinidad and Tobago gained its independence from the United Kingdom
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
. With several independent countries in the former British West Indies
British West Indies
The British West Indies was a term used to describe the islands in and around the Caribbean that were part of the British Empire The term was sometimes used to include British Honduras and British Guiana, even though these territories are not geographically part of the Caribbean...
engaging in left-leaning policy experiments, seen by many as heading down the road towards socialism
Socialism
Socialism is an economic system characterized by social ownership of the means of production and cooperative management of the economy; or a political philosophy advocating such a system. "Social ownership" may refer to any one of, or a combination of, the following: cooperative enterprises,...
or "Communism", many Canadian banks were seeking to sever their ties in the Caribbean region so as to avoid having their operations nationalized.
- 1972 RBC, at the urging of the local government, incorporated the Royal Bank of Trinidad and Tobago (RBTT) to take over its operations in the country.
- 1985 RBTT formed Caribbean Banking Corporation Limited (CBC), its first venture outside of Trinidad and Tobago, to acquire the branch operations of the Royal Bank of Canada in St. Vincent and the Grenadines. CBC was a 50/50 joint venture with the Neal & Massy Group. CBC is now RBTT Bank Caribbean.
By 1986 RBC had divested itself of 53% of its shares in RBTT. Then in 1987 RBC divested itself of its remaining shares in RBTT, putting 100% of its shares in the hands of local shareholders, including 21% in the hands of bank employees. To propel future growth, the bank created the parent holding company known as the Royal Bank of Trinidad and Tobago, Limited for banking operations. In 1990 RBTT decided to transform The Royal Bank of Trinidad and Tobago Limited into a full-fledged regional institution offering financial services across the Caribbean.
- 1991 CBC (now RBTT Bank Caribbean) established a branch at BequiaBequiaBequia is the largest island in the Grenadines. It is part of the country of Saint Vincent and the Grenadines, and is approximately 15 km from the nation's capital, Kingstown.-Geography:The island capital is Port Elizabeth...
, in the GrenadinesGrenadinesThe Grenadines is a Caribbean island chain of over 600 islands in the Windward Islands.-Geographic boundaries:They are divided between the island nations of Saint Vincent and the Grenadines and Grenada. They lie between the islands of Saint Vincent in the north and Grenada in the south. Neither...
. - 1992 CBC established a branch in AntiguaAntiguaAntigua , also known as Waladli, is an island in the West Indies, in the Leeward Islands in the Caribbean region, the main island of the country of Antigua and Barbuda. Antigua means "ancient" in Spanish and was named by Christopher Columbus after an icon in Seville Cathedral, Santa Maria de la...
. - 1993 CBC established itself in Saint LuciaSaint LuciaSaint Lucia is an island country in the eastern Caribbean Sea on the boundary with the Atlantic Ocean. Part of the Lesser Antilles, it is located north/northeast of the island of Saint Vincent, northwest of Barbados and south of Martinique. It covers a land area of 620 km2 and has an...
. - 1995 RBTT acquired St. Maarten Commercial Bank and changed its name to Antilles Banking Corporation (Sint Maarten).
- 1996 RBTT, with the encouragement of the Eastern Caribbean Central BankEastern Caribbean Central BankThe Eastern Caribbean Central Bank is the monetary authority of a group of six independent Caribbean nations namely:* Antigua and Barbuda,* Grenada,* Saint Kitts and Nevis,* Commonwealth of Dominica,* Saint Lucia,* Saint Vincent and the Grenadines,...
, acquired a 94% interest in the Nevis Corporative Bank, established in 1955, and changed its name to Caribbean Banking Corporation (SKN). RBTT also acquired Nevis Banking Company (est. 1955), and merged it into CBC (SKN). RBTT acquired the McLaughlin Bank in CuraçaoCuraçaoCuraçao is an island in the southern Caribbean Sea, off the Venezuelan coast. The Country of Curaçao , which includes the main island plus the small, uninhabited island of Klein Curaçao , is a constituent country of the Kingdom of the Netherlands...
, and changed the name to Antilles Banking Corporation (Curaçao). - 1997 RBTT acquired a 50% interest in the Grenada Bank of Commerce (est. 1983), which it has since increased to 62%. RBTT also acquired Neal & Massy’s 50% interest in CBC, making CBC a wholly owned subsidiary. This is now RBTT Bank Caribbean, with branches in St. Lucia, Antigua, St. Vincent, and Bequia, and owns RBTT Bank (SKN) in NevisNevisNevis is an island in the Caribbean Sea, located near the northern end of the Lesser Antilles archipelago, about 350 km east-southeast of Puerto Rico and 80 km west of Antigua. The 93 km² island is part of the inner arc of the Leeward Islands chain of the West Indies...
and RBTT Bank GrenadaGrenadaGrenada is an island country and Commonwealth Realm consisting of the island of Grenada and six smaller islands at the southern end of the Grenadines in the southeastern Caribbean Sea...
. - 1998 RBTT acquired the First National Bank of ArubaArubaAruba is a 33 km-long island of the Lesser Antilles in the southern Caribbean Sea, located 27 km north of the coast of Venezuela and 130 km east of Guajira Peninsula...
, with two subsidiaries offering both onshore and offshore services. The bank also formed RBTT Financial Holdings Limited, a new holding company. - 1999 Antilles Banking Corporation acquired the operations of the Chase Manhattan BankChase Manhattan BankJPMorgan Chase Bank, N.A., doing business as Chase, is a national bank that constitutes the consumer and commercial banking subsidiary of financial services firm JPMorgan Chase. The bank was known as Chase Manhattan Bank until it merged with J.P. Morgan & Co. in 2000...
in St. Maarten. RBTT restructured its ownership and Grenada Bank of Commerce became a subsidiary of CBC. - 2000 RBTT acquired FINSAC's 99.9% shareholding in Union Bank of JamaicaUnion Bank of JamaicaUnion Bank of Jamaica in Jamaica was the result of a merger in 2000 of the business of four FINSAC controlled commercial banks and their three allied merchant banks, all seven of which sought Government intervention when faced with insolvency: Citizens Bank; Eagle Commercial Bank; Island Victoria...
. The bank changed its name to RBTT Bank (JamaicaJamaicaJamaica is an island nation of the Greater Antilles, in length, up to in width and 10,990 square kilometres in area. It is situated in the Caribbean Sea, about south of Cuba, and west of Hispaniola, the island harbouring the nation-states Haiti and the Dominican Republic...
). Union Bank was the result of a merger of the business of four (4) FINSAC controlled commercial banks and their three (3) allied merchant banks, all seven of which sought Government intervention when faced with insolvency: Citizens Bank; Eagle Commercial Bank; Island Victoria Bank; Workers Savings & Loan Bank; Citizens Merchant Bank; Corporate Merchant Bank; and Island Life Merchant Bank. - 2000 Antilles Banking Corporation (Curaçao) N.V acquired all of ABN AMROABN AMROABN AMRO Bank N.V. is a Dutch state-owned bank with headquarters in Amsterdam. It was re-established, in its current form, in 2009 following the acquisition and break up of ABN AMRO Group by a banking consortium consisting of Royal Bank of Scotland Group, Santander and Fortis...
branches in Curaçao and Bonaire. Antilles Banking Corporation (Sint Maarten) acquired the operations in Sint Maarten. RBTT merged the operations of ABN AMRO Netherlands Antilles and ABC and continued the combined business under the name RBTT Bank Antilles. ABN AMRO held a minority of the shares in ABC for a maximum period of up to three years. ABN AMRO traced its origins in the Netherlands Antilles back to Edwards, Henriquez & Co., established in 1856 in Curaçao, whose main activity was trade and sea transportation. - 2000 First National Bank of Aruba acquired ABN AMRO’s branches in Aruba. RBTT merged the banking activities of ABN AMRO Aruba and First National Bank of Aruba and continued the combined business under the name RBTT Bank Aruba. First National Bank of Aruba also owned Banco Nacional de Hipotecas, a licensed mortgage bank.
- 2000 RBTT acquired all of ABN AMRO Bank’s branches in SurinameSurinameSuriname , officially the Republic of Suriname , is a country in northern South America. It borders French Guiana to the east, Guyana to the west, Brazil to the south, and on the north by the Atlantic Ocean. Suriname was a former colony of the British and of the Dutch, and was previously known as...
through its wholly owned subsidiary RBTT Bank (Suriname).
On 22 April 2002 the bank celebrated its 100th anniversary and rebranded itself legally to the acronym form of the Royal Bank of Trinidad and Tobago or "RBTT". This led to a regional rebranding of all RBTT businesses of the financial group. Today, all commercial banking subsidiaries carry the RBTT brand in their official name.
- 2003 RBTT acquired Ernst & Young Trust Corporation in Barbados and renamed it RBTT Trust Corporation.
- 2004 RBTT acquired Caribbean Commercial Bank in BarbadosBarbadosBarbados is an island country in the Lesser Antilles. It is in length and as much as in width, amounting to . It is situated in the western area of the North Atlantic and 100 kilometres east of the Windward Islands and the Caribbean Sea; therein, it is about east of the islands of Saint...
. This is now RBTT Bank Barbados. - 2005 RBTT opened a representative office in Costa RicaCosta RicaCosta Rica , officially the Republic of Costa Rica is a multilingual, multiethnic and multicultural country in Central America, bordered by Nicaragua to the north, Panama to the southeast, the Pacific Ocean to the west and the Caribbean Sea to the east....
as the first step in a strategy of greater involvement in Central America. - 2007 RBC announced it would acquire RBTT, which would mark the return of RBC to Trinidad and Tobago after an absence of 20 years.http://www.rbc.com/newsroom/20071002rbtt.html http://www.rbtt.com/applicationloader.asp?app=newsarticles&cmd=view&articleid=569
- 2008 RBTT shareholders voted in favour of the acquisition by RBC; the transaction was completed in June 2008. http://www.trinidadexpress.com/index.pl/article_news?id=161299186
Stock market
The company was listed on the Trinidad and Tobago Stock ExchangeTrinidad and Tobago Stock Exchange
The Trinidad and Tobago Stock Exchange is the main stock exchange in the Republic of Trinidad and Tobago. Currently the leading stock exchange in the Caribbean region , the Trinidad and Tobago stock exchange caters mostly to the strong financial position of many indigenous companies incorporated...
(TTSE) under the symbol RBTT. RBTT shareholders are receiving both cash and RBC shares for their stock in RBTT. RBC is considering listing depository receipts for RBC shares on the TTSE.
Subsidiaries and units
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- RBTT Bank Limited - Trinidad and Tobago
- RBTT Insurance Agency Limited
- RBTT Merchant Bank Limited
- RBTT Trust Limited
- West Indies Stockbrokers Limited
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- RBTT Bank Aruba N.V.
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- RBTT Bank Barbados Limited
- RBTT Trust Corporation
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- RBTT Bank Grenada Limited
- RBTT Bank Caribbean Limited (see also Nevis)
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- RBTT Bank N.V. (in )
- RBTT Bank N.V. (in )
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- RBTT Bank Jamaica Limited
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- RBTT Bank Caribbean Limited (see also Grenada)
- RBTT Bank (SKN) Limited
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- RBTT Bank (Suriname) N.V.
Associate companies
- Guardian Life of the Caribbean Limited (life insurance)
- Guardian General Insurance Limited (general insurance)
Largest competitors
- Barbados National Bank
- CitibankCitibankCitibank, a major international bank, is the consumer banking arm of financial services giant Citigroup. Citibank was founded in 1812 as the City Bank of New York, later First National City Bank of New York...
- FirstCaribbean International BankFirstCaribbean International BankCIBC FirstCaribbean International Bank , is a publicly held Caribbean financial services company based in Barbados. Formed in 2002 as a merge the Caribbean operations of Barclays Bank PLC and Canadian Imperial Bank of Commerce , in March 2006 both CIBC and Barclays announced that Barclays wished...
- National Commercial Bank of Jamaica
- ScotiabankScotiabankThe Bank of Nova Scotia , commonly known as Scotiabank , is the third largest bank in Canada by deposits and market capitalization. It serves some 18.6 million customers in more than 50 countries around the world and offers a broad range of products and services including personal, commercial,...
- Republic Bank of Trinidad and Tobago
External links
- Official Website - online
- West Indies Stockbrokers Limited - online