completed theacquisition of 99.18% of BanquePharaon & Chiha SAL's shares.
Theconsideration is based on a valuation of 100% of Banque Pharaon & Chiha'sissued share capital at $91 million, according to a May 10 news release.Banque Pharaon & Chiha has five branches, 100 employees and deposits of$242 million at the end of 2015. Founded in 1876, it is Lebanon's oldest bank,Byblos Bank said.
Theshares were mainly acquired following the assignment by Raymond Samir ZinaRahmeh and Teddy Samir Zina Rahmeh, or ZR Group, to Byblos Bank of their sharesand rights under share purchase agreements entered into with Banque Pharaon& Chiha's former shareholders.
ZRGroup, in turn, has obtained preliminary approval from the to acquire directly orthrough a holding company up to 5.6% of Byblos Bank's common shares, calculatedon the basis of a share price equal to 125% of Byblos Bank's audited book valueas of Dec. 31, 2015.
Theacquisition is the first step to the merger through absorption of BanquePharaon & Chiha, subject to the Lebanese central bank's approval.