Shareholder submits offer to acquire 51% stake in Pakistan's Summit Bank

Summit Bank Ltd. shareholder Nasser Abdulla Hussain Lootah submitted a formal offer to acquire at least a 51% shareholding in the bank.

Under the share subscription agreement signed by both parties, the Pakistani lender will offer 5,976,095,618 ordinary shares at 2.51 rupees apiece to the bank's minority shareholders and Lootah.

The shareholders will be offered to subscribe to 896,414,343 shares to be allocated proportionately based on their current shareholding in Summit Bank. The difference between the total subscription shares and the shares subscribed to by the minority shareholders will be offered to Lootah, according to a March 18 filing.

Further, Lootah will purchase shares from Summit Bank's shareholders in line with a public offer of 1,312,298,455 shares at 2.51 rupees apiece, according to a March 18 regulatory filing.

Lootah, who owns a 0.51% stake in Summit Bank, revived plans for the proposed acquisition in February.

Topline Securities (Pvt.) Ltd. is managing the offer.

As of March 18, US$1 was equivalent to 180.27 Pakistani rupees.