Noor Financial Investment Company has reached a deal to sell off its 26.447 million ordinary shares of Meezan Bank at a value of Rs. 1.851 billion to potential foreign investors.
According to the notification issued to PSX, Noor Financial Investment Company has successfully consummated the divestment/sale of 26,447,000 ordinary shares in Meezan, constituting a total of 2.49% of the total issued and paid-up capital of Meezan pursuant to which the sale shares have been acquired by various foreign institutional investors at a purchase price of PKR 70/- per share.
The Kuwait-based Noor Financial Investment Company owns 522,033,439 ordinary shares in Meezan Bank (representing approximately 49.11% of the issued and paid-up capital of the bank).
The proposed deal of shares can not advance until the State Bank of Pakistan (SBP) issues its clearance or approval.
In this regard, Noor Financial has requested Meezan Bank’s top brass to approach the State Bank of Pakistan to unblock the sale shares to enable Noor to consummate the proposed transaction.
The shares of Noor Financial are currently lying in a blocked account maintained by the Central Depository Company Limited (CDC). It seeks that the Sale Shares be unblocked.
According to Reuters, six investors from the USA and Europe are keen on buying a combined 9.59% stake in Meezan Bank. In this regard, the investors are holding talks with Kuwait’s Noor Financial Investment over the possible purchase of a stake in Pakistan’s top Islamic bank.
None of the six investors are willing to buy more than 5 percent of the bank to facilitate a quick approval from the banking regulator, claim sources.
Meezan is Pakistan’s biggest Islamic bank with a network of more than 600 branches in 150 cities of the country.