The board of JSC Halyk Savings Bank of Kazakhstan approved its merger with JSC Kazkommertsbank, five months after completing the acquisition of the lender.
The new entity resulting from the merger is expected to take up a market share of about 40%, making it the country's biggest bank by a factor of four, according to a Dec. 15 Financial Times report.
Since deal completion in July, the banks have already merged their ATM networks and undertaken several joint projects in the card business. Further steps to be taken include the integration of IT systems and joint product and services standards.
Following the merger, which is expected to be completed in the second half of 2018, Halyk Bank will become the legal successor of all of Kazkommertsbank's obligations toward other banks and debt holders. The merger remains subject to regulatory approvals and other necessary procedures.