3 Banks Murged in Bahrain

Dec

3

2013

The world’s first three-way Islamic bank merger, based in Bahrain, is ready to do business.

Ibdar Bank is the result of the joining of Capital Management House (CMH), Capivest and Elaf Bank.

It has resulted in an investment bank with $300 million of paid-up capital, $329m in equity, an asset base of $360m and significant funds for deployment, Ibdar chairman Paul Mercer told the GDN yesterday.

He was speaking at the Capital Club Bahrain on the sidelines of the launch of Ibdar with a new logo and brand identity.

The launch follows a period of consolidation and integration of the assets, resources and operations of the three banks.

“Leveraging a 30-year combined track record and the complementary strengths of the merged entities, Ibdar will engage in private equity, capital markets and real estate,” Mr Mercer said.

“There were a lot of opportunities that each of the legacy banks could not do individually, as it was too big or they couldn’t close the transactions. We now have a bigger balance sheet, it opens the door to greater opportunities for us,” said Ibdar chief investment officer Mohamed Aljasim.

The bank is not leveraged and will retain Elaf Bank’s licence in Malaysia to support a geographical scope that includes the Middle East, North Africa and Turkey, Mr Aljasim said. In the past, the three lenders were involved in financing, advisory work and portfolio management in aviation, shipping, infrastructure and real estate, which Ibdar aims to maintain while disposing of non-core assets.

In: News Asked By: [192 Blue Star Level]

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