National Bank of Bahrain BSC (NBB) and SIO Asset Management Company BSC(c) (SIOAM) today announced that they have completed the purchase of The Investment Dar KSC's (TID) and associated companies shareholding of 51.6% in Bahrain Islamic Bank BSC (BisB).
The shares were purchased by NBB and SIOAM at 72 fils per share; after obtaining the required regulatory approvals for the transaction and for the final documentation between the various parties. NBB and SIOAM have now each acquired 25.8% of BisB's shares with this transaction. In March 2013, NBB and SIOAM had announced that they had agreed the terms on this purchase. Trowers & Hamlins acted as the legal advisor for the buyers.
Mr. Abdul Razak Hassan Al Qassim, CEO and Director of NBB stated "This investment represents a significant strategic initiative for NBB. We have been looking for a suitable opportunity to establish a footprint in the Islamic banking industry and BisB represented an appropriate vehicle for us. BisB's strengths in Islamic banking and its sound retail franchise will complement our business. We look forward to working closely with SIOAM and other stakeholders in ensuring a more prosperous BisB".
Shaikh Abdulla Khalifa Al Khalifa, CEO of SIO Asset Management Co commented "We are delighted to have concluded this transaction on behalf of our clients (the Military and the Private Pension Funds). As an organisation, we are focussed on investing in Bahraini businesses which has the potential to offer significant benefits to shareholders and the economy in general. BisB is an apt example of that. BisB is a major player in the Islamic banking sector and offers an excellent opportunity to further the growth of not only the sector but also on a holistic economic platform. We will be working with NBB & other stakeholders to build the business further."
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About National Bank of Bahrain:
National Bank of Bahrain was established in 1957 as the first indigenous bank in Bahrain. A nation-wide network of 25 branches, 59 ATMs in addition to our branches in Abu Dhabi and Riyadh makes NBB the leading provider of commercial and retail banking services in Bahrain.
About SIO Asset Management:
SIO Asset Management is a wholly owned subsidiary and the investment arm of Social Insurance Organization and the Military Fund. It was established in 2012 as a category 1 investment company regulated by the CBB. Its sole purpose is to invest on behalf of its clients and shareholders (SIO and Military Fund).
© Press Release 2013
