Manama, 9 October 2013:

Al Salam Bank-Bahrain (ASBB) shareholders held their Extraordinary General Assembly meeting and approved by an overwhelming majority the Board of directors recommendation to merge the Bank with BMI Bahrain through exchange of ASBB shares.

In her speech to the shareholders, the Chairperson H.H. Shaikha Hessa bint Khalifa Al Khalifa pointed out that ASBBs stated strategy is to grow organically and through mergers and acquisitions, and consistent with this strategy the Board of directors had been continuously on the lookout for suitable commercial banking targets to acquire and integrate to position the Bank as the largest domestic Islamic bank in Bahrain.

In this regard, the Board and senior management had been in discussions with BMI for over a year before the transaction was put forward to the shareholders for their approval she said.

Shaikha Hessa affirmed that the directors see this as an excellent opportunity to grow the total assets, shareholders equity and customer deposits, all of which are extremely important financial indicators for financial institutions. Apart from size of the balance sheet the merger is expected to result in sustainability to the Groups earnings she stated. 

H.H Shaikha Hessa mentioned that upon merger the Group will have total assets of circa BD1.8 billion, financing facility of circa BD1.2 billion, equity of over BD285 million and total customer deposits in excess of BD1.2 billion.

H.H. Shaikha Hessa pointed out that the transaction recommended by the Board of directors is in line with the Central Bank of Bahrains stated strategy to consolidate the banking sector so stronger players emerge to promote healthy competition in the banking sector.

-Ends-

Al Salam Bank-Bahrain
Headquartered in the Kingdom of Bahrain, Al Salam Bank-Bahrain (B.S.C.) is a dynamic, diversified and differentiated Islamic bank.

Incorporated on 19 January 2006 in the Kingdom of Bahrain and commenced commercial operations on 17 April 2006, the Bank operates under Sharia principles in accordance with regulatory requirements for Islamic banks set by the Central Bank of Bahrain.

Al Salam Bank-Bahrain was listed on the Bahrain Bourse on 27 April 2006, and subsequently on the Dubai Financial Market on 26 March 2008.

The Banks high caliber management team comprises highly qualified and internationally-experienced professionals with proven investment expertise in key areas of banking, finance and related fields; all supported by a world-class Information Technology (IT) infrastructure and the latest smart working environment.

Al Salam Bank-Bahrain adopts internationally recognized standards and best practices in Corporate Governance and operates with highest levels of integrity, transparency and trust.

The Bank is committed to its role as a concerned corporate citizen, actively seeking ways to contribute and add value to the social and economic well-being of the local communities in which it invests and operates.

For further information, please contact:
Adnan Alshaikh
Head, Corporate Communications & Investor Relations
Tel: +973 39336900
Email: a.alshaikh@alsalambahrain.com

Press Release 2013