Corporate Trust

Corporate Trust is a Trust that a we create to secure a bond or other debt security. In other words, a corporate trust is effectively, money set aside to ensure that bondholders are covered in the event of default on the issue. We offer Corporate Trust Services such as:

  • Hold security on behalf of the stockholders.
  • Protection and preservation of the secured assets, independently of various credit relationships and interests.
  • Holding company’s assets as security for all future and subsequent changes in security arrangements.
  • Take day-to-day decisions on behalf of stockholders.
  • Enforce security following default and distribute proceeds to stockholders
As a result of increased demand for commercial financing as well as regulatory constraint (single obligor limit), it has become common to find two or more securing credit facilities through two or more financial institutions to a single borrower through consortia and loan syndication. When this occurs, it becomes necessary that a neutral party (the Trustee) be appointed to hold the asset/security backing the loan to ensure that the interests of both the Borrower and Lender is adequately protected.

The security provided is thus held as a common security by the Trustee on behalf of all the Lenders.

Our role specifically will include:
  • andling the releases and substitution of property based on valuation, title and security issues.
  • Carrying out the instructions of the secured Creditors.
  • Admitting new syndicate members to participate in the lending and security without the need to amend or re-register the security.
We provide the following corporate services:  
  • Company Secretarial services for companies and SPV’s.
  • Membership on the Board of Trustees of Registered Foundations and Charities.
  • Independent Company directors for special purpose Vehicles etc.
Employee Benefit Schemes such as Share Ownership Schemes afford the staff the opportunity to own a certain percentage of the Company’s equity holding or other non-wage compensation. It is constituted to serve as an incentive scheme for employees and encourage their loyalty in the long run.

Our roles will include:
  • Drawing up rules to define the terms of the scheme.
  • Holding the title to the Assets and overseeing the grant & vesting cycles in accordance with the Agreement.
  • Ensuring compliance by the company with regulatory requirements.
  • Administration of the Scheme’s plan on an ongoing basis.
  • Providing periodic reports to the company and scheme members.