Back to the complete issue
Wednesday, 18 November 2020

Bank ABC confirms it’s still in for Blom Bank Egypt

M&A WATCH- Bank ABC is pushing forward with Blom Bank Egypt acquisition talks: The Arab Banking Corporation (Bank ABC) has confirmed it’s still in talks with Lebanon’s Blom Bank to acquire its Egypt branch, but added the standard disclaimer that “there is no certainty that any transaction will be completed,” Bank ABC said in a filing to the Bahraini stock exchange (pdf). The Bahraini bank is expected to complete due diligence on Blom Bank Egypt as early as this week, before making an offer, Masrawy reports, quoting banking sources. The bank reportedly has no qualms about how much it ends up spending as it competes with fellow GCC lender Emirates NBD, which said on Monday that it was still in the running to acquire Blom Bank.

Background: Lebanon’s Blom Bank announced in August it was looking to sell its Egypt unit in response to the economic crisis roiling its home country. The sale will allow the bank to raise its capital by some USD 240 mn to comply with higher capital requirements the Lebanese central bank recently introduced to the banking sector.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of HSBC Egypt (tax ID: 204-901-715), the leading corporate and retail lender in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Mashreq (tax ID: 204-898-862), the MENA region’s leading homegrown personal and digital bank; Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt; Hassan Allam Properties (tax ID:  553-096-567), one of Egypt’s most prominent and leading builders; and Saleh, Barsoum & Abdel Aziz (tax ID: 220-002-827), the leading audit, tax and accounting firm in Egypt.