National Bank of Bahrain BSC's offer to acquire up to 100% of Bahrain Islamic Bank BSC's issued and paid-up ordinary shares has become unconditional and is accepted after remaining conditions were met, marking the offer's close.
NBB offered to acquire the shares either for 117 fils per share or through a share exchange at a ratio of 0.167 NBB share per BISB share. Shareholders owning 47.24% of BISB's shares accepted the cash offer, while investors holding 2.51% opted for the share exchange offer.
Settlement of the offer will take place Jan. 22, after which NBB will increase its stake in BISB to 78.81% from 29.06%.
Following the deal, NBB intends to maintain BISB as a separate subsidiary and boost efforts to expand the bank's product offering, adding that it expects the transaction to result in asset, revenue, cost and other operational synergies beneficial for both lenders.
As of Jan. 16, US$1 was equivalent to 377 Bahraini fils.