Bahrain-based totally Al Baraka Banking staff BARKA.BH, one of the vital Gulf’s prime Islamic banks, stated its Pakistani unit would merge with Pakistan’s Burj bank to create an establishment with belongings totaling more than $1.1 billion.
The merger, which was approved with the aid of shareholders of the 2 banks last month and still wants regulatory approvals, would see Burj financial institution holders obtain one Al Baraka financial institution (Pakistan) share for each 1.7 shares in Burj, the Bahraini bank said on Monday.
The merger is expected to take effect from the final quarter of this yr, with 74 Burj financial institution branches transformed into Al Baraka bank (Pakistan) branches to type a combined community of 224 branches throughout the u . s . a .. The Bahraini bank would be the major shareholder within the merged establishment.
Burj financial institution, certainly one of Pakistan’s 5 full-fledged Islamic banks, attracted interest from a couple of Pakistani establishments and brief-listed three to behavior due diligence earlier than agreeing to the merger with Al Baraka.
presently, the largest shareholders in Burj bank are Bahrain’s financial institution Al Khair with a 37.9 percent stake and the Jeddah-primarily based Islamic supplier for the advance of the personal Sector, which holds 33.9 %.
Bahrain-based totally Islamic funding financial institution GFH financial group GFH.DU mentioned last month that it had signed a memorandum of figuring out to purchase a majority stake in bank Al Khair.