21 September 2005
AMMAN: The Arab Jordan Investment Bank (AJIB) and the Arab Advisors Group concluded an agreement whereby AJIB buys a 55 percent stake in Arab Advisors Group. The cash transaction will allow AJIB and the Arab Advisors Group to leverage strategic synergies, to enhance the quality and scope of services of the Arab Advisors Group and to enhance the investment banking activities of AJIB.
With the Arab Advisors Group becoming an AJIB subsidiary, the company is set to expand its coverage of sectors with a upcoming launch of equity and financial research in regional stock markets. The aim is to provide top quality, independent and objective research and analysis of all major economic sectors in the region.
The Arab Advisors Group - a private shareholding company registered in Jordan - will now be 55 percent owned by AJIB and 45 percent owned by Jawad Abbassi the founder of the group. The group's current management team will remain intact and Abbassi will continue as the general manager.
AJIB will be fully active in the new Arab Advisors Group board of directors and will be instrumental in steering the company in the forthcoming period of expansion.
"We have been monitoring the Arab Advisors Group growth and regional success for a few years now and we believe that the company will continue its top quality research and analysis services as an autonomous subsidiary of the AJIB group" Hani al-Qadi, AJIB deputy chairman and general manager commented.
"AJIB will lend all needed support to the Arab Advisors as the company expands into other verticals beyond the media and telecoms verticals on which it has hitherto focused with great success and effect." he added.
"AJIB has been a regional pioneer in investment banking with many successful IPOs and structured finance deals in the region. The partnership between AJIB and Arab Advisors will allow us to formulate new and enhanced services for our existing client base as well as expand the services to a wider client base." Abbassi said.
"Being a part of the AJIB group ushers in a new era of expansion and growth for Arab Advisors Group. We are very happy with this strategic transaction and promise our clients continued professional and quality service." Abbassi added.
