Business

MCB Bank, NIB Bank announce merger

The amalgamation deal is subject to a number of regulatory approvals

Our Correspondent December 07, 2016

The amalgamation deal is subject to a number of regulatory approvals. PHOTO: FILE

KARACHI: MCB Bank and NIB Bank announced Wednesday their merger to operate as a single entity, as the Singapore-based majority shareholders of NIB have agreed to acquire one share of MCB in exchange of every 140 shares held by them, according to bourse filings.

The amalgamation deal is subject to a number of regulatory approvals.

MCB Bank, NIB in talks for possible merger

“As a consequence of the Proposed Amalgamation, 73,569,197 ordinary shares of MCB shall be issued in aggregate in favour of the shareholders of the {NIB} Bank on the basis of a swap ratio of 1 (one) ordinary share of MCB for every 140.043 ordinary share of the {NIB} Bank,” Ather Ali Khan, Company Secretary, NIB Bank said in a notification to the Pakistan Stock Exchange.

General shareholders of NIB Bank are also entitled to the new shares of MCB Bank in the same proportion.

MCB Bank’s share increased 2.25%, or Rs5.05, and closed at Rs229.24 with a volume of 1.38 million shares at the stock market.

Published in The Express Tribune, December 8^th, 2016.

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