Bank Alkhair Exits Its Major Stake in Pakistan’s Burj Bank

15 December 2016

Manama, 15 December, 2016: Bank Alkhair has obtained approval from the State Bank of Pakistan to sell its stake in Pakistan’s Burj Bank to Al Baraka Pakistan Limited (ABPL), a subsidiary of Al Baraka Banking Group.

Prior to the transaction, Bank Alkhair was Burj Bank’s major shareholder, followed by Jeddah-based Islamic Corporation for Development of the Private Sector with 33.9 per cent of shares.

This transaction follows the announcement on 5 September 2016 of the approval of shareholders to the merger of Pakistan’s Burj Bank and ABPL, creating an institution with assets totalling more than US$1.1 billion.  The amalgamation was approved by the State Bank of Pakistan and has become effective since 31 October 2016.

Bank Alkhair acquired a 22.2 per cent equity stake in Pakistan’s Burj Bank (formerly Dawood Islamic Bank), a Shariah-compliant commercial bank, in June 2006. In March 2009, Bank Alkhair increased its equity stake in the bank to 37.9 per cent.