Bank Alfalah Limited (BAFL) has received in-principle approval from the State Bank of Pakistan (SBP) to facilitate Bank Asia Limited (Bank Asia) in conducting due diligence on BAFL’s operations in Bangladesh, the bank announced on Friday.
The approval is part of a potential sale where Bank Asia is interested in acquiring 100 percent of the assets and liabilities associated with BAFL’s Bangladesh operations, as detailed in a notice to the Pakistan Stock Exchange (PSX).
The completion of this proposed transaction depends on several factors, including a thorough due diligence process, the finalization of transaction documents, and obtaining necessary regulatory and third-party approvals and consents, according to the notice.
This decision follows BAFL’s Board of Directors granting in-principle approval and acceptance of a non-binding indicative offer from Bank Asia Limited last month, marking progress towards a significant development in the banking sector.
This strategic move highlights BAFL’s focus on optimizing its operations and exploring opportunities in key markets, subject to the successful completion of due diligence and regulatory procedures.