trending Market Intelligence /marketintelligence/en/news-insights/trending/auri9s54fbbuwzljuvvunw2 content esgSubNav
In This List

Malaysia Building Society closes acquisition of Asian Finance Bank

Podcast

Street Talk Episode 87

Blog

A New Dawn for European Bank M&A Top 5 Trends

Blog

Insight Weekly: US banks' loan growth; record share buybacks; utility M&A outlook

Blog

Banking Essentials Newsletter 2021: December Edition


Malaysia Building Society closes acquisition of Asian Finance Bank

Malaysia Building Society Bhd. closed the acquisition of Asian Finance Bank Bhd. in a cash-and-stock deal worth 645.0 million ringgit.

The takeover was completed following Malaysia Building Society's settlement of the balance cash consideration of 357.2 million ringgit, as well as the allotment of 225,507,974 shares, according to a Feb. 7 bourse filing.

Signed in November 2017, Malaysia Building Society entered into a conditional share purchase agreement to buy the entire equity interest in Asian Finance Bank from the latter's shareholders — Qatar Islamic Bank (QPSC), Financial Assets Bahrain W.L.L., Malaysia-based RUSD Investment Bank Inc. and Yemen-based Tadhamon International Islamic Bank for 396.9 million ringgit in cash and an issuance of such shares at 1.10 ringgit apiece.

Upon listing the shares Feb. 8, an amount of 24.8 million ringgit, which represents the deposit paid on the portion of the deal amount settled through the share issue, will be refunded to Malaysia Building Society.

The Malaysian company had said the banking license held by Asian Finance Bank would pave the way for the merged entity to become a full-fledged Islamic banking franchise in the country.

RHB Investment Bank Bhd. and AmInvestment Bank Bhd. served as joint principal advisers to Malaysia Building Society for the transaction.

As of Feb. 7, US$1 was equivalent to 3.91 Malaysian ringgit.