In its efforts to comply with the latest regulations issued by the Central Bank of Lebanon, which stipulate that all Lebanese banks must increase their equity by 20% by end February 2021, BLOM Bank SAL “announced that it has signed a definitive agreement on Friday 15 January 2021 with the Arab Banking Corporation BSC (Bank ABC), whereby BLOM Bank SAL will sell its entire 99.4% stake in BLOM Bank Egypt SAE, its Egyptian subsidiary, to Bank ABC, subject to obtaining the approvals of the Central Bank of Egypt and the Central Bank of Lebanon, among other regulatory approvals in Egypt and Bahrain”.
To be noted that, “the proposed cash consideration to be offered by Bank ABC for 100% of BLOM BANK Egypt under the transaction is EGP 6,700 million (USD 427 million)”.
The statement also mentioned, that “BLOM BANK will sell its stake to Bank ABC by tendering its shares into a mandatory tender offer to be launched by Bank ABC to all shareholders of BLOM Bank Egypt after obtaining and complying with all mandatory regulatory approvals, including the approval of the Central Bank of Egypt and the Financial Regulatory Authority in Egypt. The closing of the transaction is expected to take place in the first half of 2021”.
BLOM Egypt Financials Q3 2020:
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