State Bank grants approval for sale of BankIslami shares to JS
Bank
The State Bank of Pakistan (SBP) has given its consent to
Jahangir Siddiqui and Co. Limited (PSX: JSCL) for the sale and transfer of
235,684,306 shares of BankIslami Pakistan Limited (PSX: BIPL) to its
subsidiary, JS Bank Limited (PSX: JSBL), according to a stock filing released
on Monday.
Moreover, SBP has authorized JSCL "to participate in the
acquisition of additional shares of JSBL that are being offered via rights to
all JSBL shareholders, which would remain unsubscribed by the public
shareholders of JSBL."
It's noteworthy that on March 6, JS Bank declared its intention
to acquire BankIslami shares through a shares swap agreement involving JS
Global Limited and JS Investments Limited. Subsequently, the bank announced its
decision to extend a cash consideration to the minority shareholders of BIPL.
BankIslami Pakistan Limited holds a prominent position as an
Islamic bank in Pakistan, catering to customers for a substantial period. The
prospective acquisition of the bank by the JS Group has garnered interest and
speculation within the business community and among investors. In this context,
concerned parties submitted applications against the transaction and sought an
injunction from the Sindh High Court (SHC) to halt the bank's progress in the
acquisition process.
In June, the SHC dismissed all applications opposing JSBL's
acquisition of BIPL shares, paving the way for the bank to proceed with the
acquisition as scheduled.
Source: Pro Pakistani