Groupe Nduom today completed the transaction to acquire a bank in the USA. This begins a new important and pioneering chapter in the entrepreneurial history of our multi-national group of companies.
The acquisition of Illinois-Service Federal Savings Bank (ISF Bank) follows the regulatory approval by the US Office of the Comptroller of the Currency.
The Board of Directors of ISF Bank last year approved the adoption of a Plan of Voluntary Supervisory Conversion and Stock Purchase Agreement with Dr. Papa Kwesi Nduom and Nduom family members, pursuant to which the Bank converted from the mutual form of ownership to the stock form of ownership and issued newly authorized shares of its common stock to the investors in a recapitalization transaction.
The conversion and recapitalization was a crucial step in the turnaround of the Bank, which experienced difficulties during the economic downturn of 2008, which was especially devastating for African-American communities and the banks that serve them.
“Founded in Chicago in 1934, the Bank has been a crucial source of capital and banking services for families, local small businesses, faith-based institutions and nonprofit organizations in our neighborhoods,” said Norman J. Williams, immediate past Chairman and CEO of ISF. “This marks a new chapter in the life of the Bank, which will enable it to sustain the rigors of financial stress that have plagued many communities in Chicago and continue to provide much-needed banking services and access to credit. Given the current climate in our country, the Bank is needed more than ever to provide financial services and drive redevelopment in our market,” added Mr. Williams.
“The Nduom family is proud to support this leading institution and trusted Chicago partner which, for eight decades, has worked to revitalize the urban areas in which it operates,” said Dr. Nduom. “Our investment will enable the Bank to build upon its legacy by providing a suite of innovative financial services and products to address its customers’ needs. This investment helps ensure that minority focused banks continue to play a vital role in community economic development.”
“We believe in a comprehensive approach to neighborhood revitalization including housing, schools, businesses, and not-for-profits, all important assets which ISF finances and sustains across Chicago’s communities,” said Mr. Williams. “By continuing to serve individuals and institutions with mission-driven capital, ISF will grow and thrive along with the City.”
The Bank began in 1934 when community leaders came together to establish a savings and loan association sensitive to the needs of African-American residents of Chicago. The ISF Bank has two offices in the City, and through its Internet banking program, its services and products are available nationwide. Its mission is “To provide the underserved and largely unbanked minority constituency with banking products that suit their needs and customer service that exceeds expectations.”
Dr. Papa Kwesi Nduom and Mrs. Yvonne Nduom are private investors who began their professional life in the Midwestern United States. Dr. Nduom was a Deloitte & Touche partner in Milwaukee, Wisconsin. Mrs. Nduom worked with Allstate Insurance and Blue Cross, Blue Shield in Wisconsin.
They provide managerial, technical and financial services through their management services company, International Business Solutions, LLC, based in Washington D.C. As an entrepreneurial family, the Nduom Family is proud and grateful for the opportunity to contribute to ISF’s legacy of socio-economic development. “We look forward to serving and building the South side community of Chicago in the long tradition of Illinois Service Federal as a prime residential and business community to compliment the proposed President Obama Library to be sited there.”