The board of directors at Faysal Bank Limited have decided to acquire the complete shares of Faysal Asset Management Company, up from its present 30 percent stakes in the firm.
The bank affirmed on enhancing their investment in the asset management companies by acquiring shares of its stakeholders with the investment of around Rs.315 million.
The board plans to acquire 50% shareholding of FAML from Islamic Investment Company of the Gulf (Bahamas) Limited. It also decided to acquire shares of 19.99 percent shares of investor, Razi-ur-Rehman Khan.
Accordingly, 7.5 million voting shares of Islamic Investment Company of the Gulf (Bahamas) and the remaining 2.99 million shares have been negotiated to be bought at 30 per share price.
Earlier, the management of the Faysal Bank Limited sought to buy shares of Bahamas only but the central bank rejected its application. The bank will file a review application in the central bank with the revised plan of investment in the coming days.
Faysal Bank Limited is one of the growing banks, which is converting its conventional banking system into a Sharia-compliant banking system.
The bank’s major sponsor, Bahrain-based Ithmaar Bank plans to add 100 branches around Pakistan. With the addition of 100 new branches, the number of branches will increase to 500 in 2018.
Faysal Bank Limited witnessed a 34 percent dip in its profits during the first quarter of 2018. The bank’s profits decreased to Rs. 1.217 billion during January to March 2018 as compared to Rs. 1.867 billion in profits during the same period last year.
Faysal Bank’s footprint now spreads over 120 cities with over 400 (including 197 Islamic) branches and 372 ATMs all over the country.