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Tuesday June 18, 2024

BAFL gets SBP nod on due diligence

By Our Correspondent
May 21, 2024
The State Bank of Pakistan building in Karachi. — SBP website/File
The State Bank of Pakistan building in Karachi. — SBP website/File

KARACHI: Bank Alfalah Limited (BAFL) has received approval from the State Bank of Pakistan (SBP) to conduct due diligence on Samba Bank Limited, a step towards acquiring a majority stake in the bank, BAFL said on Monday.

“We refer to Bank Alfalah Limited (BAFL) public announcement dated 9 April 2024 in connection with its potential acquisition of 84.51 percent shares of Samba Bank Limited held by Saudi National Bank," BAFL said in a notice to the Pakistan Stock Exchange (PSX).

“We are pleased to inform you that the SBP has granted its approval to BAFL to commence due diligence of the target company.”BAFL, one of Pakistan's largest banks, announced its intention to acquire stake in Samba Bank last month. The potential acquisition is part of BAFL's expansion plans, and would give it a stronger presence in the Pakistani banking sector.

Samba Bank had previously received an acquisition offer from a consortium of investors in 2021, but the deal did not materialize.BAFL has a network of over 1,024 branches across Pakistan and an international presence in Afghanistan, Bangladesh, Bahrain, and the UAE.