Mubasher: The Kuwait-headquartered Global Investment House (Global) announced that its alternative asset management arm, Global Capital Management (GCM), has signed a purchasing agreement for the sale of a stake in Asian Finance Bank Berhad owned by Global MENA Financial Assets Limited, an investment fund managed by GCM.

Global Investment House is a regional asset management and investment banking firm with offices in major capital markets in the Middle East and North Africa (MENA) region, according to a recent statement.

Asian Finance Bank successfully operates as an Islamic corporate bank in the Malaysian market.

In 2013, the management team of Global Capital Management along with Qatar Islamic Bank (QIB) and other shareholders launched a restructuring program of the Malaysian bank’s operations and managed to return the bank to profitability.

“This program focused on strengthening and growing the core business of Asian Finance Bank by optimising the balance sheet position, enhancing the corporate governance, implementing adequate ERP and risk management systems and organizational rightsizing,” the statement added.

"With an implied price to book value that exceeds the banking sector in Malaysia, we cannot be prouder of this achievement and we are confident of replicating this success story with the other portfolio companies which we manage and operate in this and other sectors across the MENA region and Turkey,” Sulaiman Mohammed Al Rubaie, deputy CEO of Global Investment House and managing partner of GCM, said.

"Merger is strategic for the two institutions, depositors, employees and the stability of the banking sector. The acquisition gives the Purchaser an opportunity to leverage on banking license held by AFB and offer full-fledged Islamic banking services in Malaysia," Partner at GCM and director on the board of Asian Finance Bank, Zakir Rizvi, commented.