Al Salam Bank Bahrain (ASBB) and Bahraini retail and commercial banking institution BMI Bank have concluded their merger following approval from their shareholders.

The approval was obtained at the respective extraordinary general assembly meetings of the banks, a statement said.

It was also agreed to increase Al Salam Bank’s capital by issuing 643,866,927 new ordinary shares at the value of 100 fils per share for BMI Bank’s shareholders, as per the resolutions taken by their EGMs.

The merger is based on the agreed exchange ratio of 11 ASBB shares for every BMI Bank share, resulting in ASBB issuing 643,866,927 new ordinary shares.

ASBB chairperson Shaikha Hessa Bint Khalifa bin Hamad Al Khalifa thanked the Central Bank of Bahrain and shareholders of ASBB for their approval to proceed with the business combination and stated that the legal formalities will be concluded once new ASBB shares are issued to BMI Bank shareholders.

BMI Bank chairman Sheikh Khalid bin Mustahail Al Mashani also thanked the Central Bank of Bahrain and shareholders of BMI Bank for their approval to proceed with the merger.

The combined entity will benefit from stronger capital base, expanded customer portfolio, unique products and services in addition to expanded branch and ATM network, the statement said. - TradeArabia News Service