Approval of the National Bank of Pakistan (SBP) and other regulatory agencies by the aim of Pakistan ‘s most profitable conventional banks to acquire 55 % stake in the Burj Dubai Bank, notifying Karachi Stock Exchange (KSE) in accordance sent to .
“MCB Bank has the understanding and the major shareholder in Burj Bank of new and existing shares by the Islamic investment and private sector companies to develop additional investment of the Islamic Development Bank (IDB) private sector investment institutions ,” it said .
Speaking of The Express Tribune , Lakson Investment KHURRAM Schehzad chief investment officer , said the bank’s acquisition of Burj Dubai will herald the MCB Bank increased by making the latter comply with sharia banking in Pakistan its footprint.
The smallest in terms of the number of branches of Islamic banking , the bank announced a net loss of Rs645.2 Burj million in first nine months of 2013 , the most recent data available during the period . Its net loss in 2012 compared to Rs22.45 million.

Latest notification follows a statement , the bank issued on January 16 , that is to establish an Islamic banking subsidiary and RS10 billion paid-in capital and merge its existing 27 Islamic bank branch into a new entity.
Relative to the earlier notification , suggesting the establishment of a ” wholly owned subsidiary ” of the latest announcement , said the investment made ​​by the MCB Bank will help to achieve the required Burj Bank National Bank RS10 billion of its minimum capital requirement (MCR) Pakistan ( SBP).

Operating expenses for each branch of Burj Bank first nine months of 2013 remained at Rs24.7 million, which is the highest among all Islamic banks . Instead, each branch of MCB bank’s operating expenses in the same period was $ RS11 million, which is the country’s five largest commercial banks in the lowest.
” I think the approval and due diligence will need between three to six months ,” Schehzad said.
Refers to the fact that , MCB Bank has hinted Burj new investment bank , as well as the existing shares , securities UMAIR Naseer global research analyst , said the issue of new share capital may soon be introduced.

  To Hell With The Intelligence

Burj Dubai Bank’s authorized capital RS12 billion. But it ‘s issued, subscribed and paid up capital of Rs8.1 billion at the end of September last year. ” It is unclear whether the bank will once its ownership structure changed significantly, operating under the same name ,” Naseer supplement.

Headquartered in Bahrain Bank Al Khair is the major shareholder in Burj Bank has 36.9% of the shares. Islamic Company for the development of the private sector is the second largest bank 33% equity interest of stakeholders .

According to Standard Capital Securities head of research Faisal sea buckthorn , the outlook is bright Islamic banking in Pakistan because of its high profits and expansion.

Islamic banking assets for Rs926 billions while deposits stood Rs775 billion, according to the latest SBP data . In their market share in the overall banking sector , the assets and deposits increased by 9.5 % and 10.1 %, respectively, for the July-September quarter.

“MCB Bank will also benefit a lot by the deal because CASA deposits in total deposits proportion is very high, ” Chaki reference to high current and savings bank deposits said. A high proportion of such deposits usually result in lower cost deposits , thus expanding the bank’s bottom line .

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