ALAWWAL BANK ANNOUNCES THE LATEST DEVELOPMENTS RELATING TO ITS POTENTIAL MERGER WITH THE SAUDI BRITISH BANK ("SABB")
| Element List | Explanation |
|---|---|
| Announcement Detail | Reference is made to the announcements made by Alawwal bank and SABB on 24/01/1440H (corresponding to 04/10/2018G) (the "Transaction Announcements") in relation to the entry into a binding merger agreement (the "Agreement") under which the two banks agreed to take the necessary steps to implement a merger by way of a statutory merger pursuant to Articles 191-193 of the Companies Law and Article 49(a)(1) of the Merger and Acquisition Regulations (the “MARs”) (the "Transaction"). The Transaction Announcement can be accessed through the following link:
https://www.tadawul.com.sa/Resources/fsPdf/5303_338_2018-10-04_08-10-08_en.pdf
On 04/07/1440H (corresponding to 11/03/2019G) SABB made an announcement pursuant to Article 17(e) of the MARs confirming its firm intention to proceed with the Transaction in accordance with the terms and steps included in the Transaction Announcements.
Alawwal bank and SABB have received the Saudi Arabian Monetary Authority's no objection in respect of the Transaction and will continue to work on satisfying the conditions required to complete the Transaction, including obtaining the other relevant regulatory approvals. Completion of the Transaction is not yet certain and remains subject to all conditions referred to in the Transaction Announcements.
Once the other relevant regulatory approvals have been obtained, Alawwal bank’s board will issue a circular addressed to its shareholders setting out the views of its board of directors on the Transaction. SABB will concurrently publish an offer document addressed to the shareholders of Alawwal bank, which will set out the relevant details about the Transaction, and a circular addressed to its shareholders in respect of the Transaction and the associated capital increase. Both banks will thereafter call for their respective extraordinary general assemblies to vote on the Transaction.
As indicated in the Transaction Announcements, Alawwal bank still expects that the Transaction will complete during the first half of 2019.
Alawwal bank will make further announcements as and when material developments occur in relation to the Transaction. |
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