Sign up | Log in



Home  >>  Daily News  >>  Malaysia News  >>  Capital Markets  >>  Malaysia’s Bank Islam to acquire stake in Indonesian bank

NEWS UPDATES 10 August 2009

Malaysia’s Bank Islam to acquire stake in Indonesian bank

Related Stories

August 8, 2009
Malaysia’s CIMB, partner ink deal with Vietnam shipping firm

August 4, 2009
Malaysia’s Astro up stake in India’s radio station

July 31, 2009
Malaysia’s Petronas acquires Dow’s stake in Optimal

July 25, 2009
Malaysia's Maxis may return to bourse by year end

June 13, 2009
Malaysia, China central banks plan currency swap

Bank Islam Malaysia Bhd (5258) is pursuing a stake in Indonesia's PT Bank Muamalat to expand into the world's most populous Muslim nation, a local business daily quoted sources as saying.

The Business Times said Malaysia’s oldest Islamic bank in Malaysia is ultimately seeking a controlling equity stake and the sources said it was already engaged in talks with several shareholders of the Indonesian Islamic bank.

It is believed to be close to cementing a deal with at least one of the shareholders.

PT Bank Muamalat is Indonesia's largest bank by branch network. It has some 230 branches nationwide and is represented by another 3,800-odd outlets through its collaboration with Indonesian post offices.

The bank, which began operations in 1992, is Indonesia's first Islamic bank. Its biggest shareholders as at end-2008, according to its website, are the Jeddah-based Islamic Development Bank with a 28 percent stake; Boubyan Bank Kuwait (21.28 percent); Atwill Holdings Ltd (15.32 percent); and individuals Abdul Rohim (6.7 percent) and Rizal Ismael (5.49 percent).

Bank Islam operates primarily in Malaysia, where competition is set to become more intense as more foreign banks are allowed in under Malaysia’s financial sector liberalisation. It is 51 percent owned by BIMB Holdings Bhd and 40 per cent owned by Dubai Investment Group.

Earlier this year, Bank Islam was reported to have been studying a merger with Maybank Islamic Bank but the plan was said to have been put on hold as the two needed to focus on strengthening their respective capital base.


Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below 




1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

| Terms of Use | Site Map | Privacy Policy  | DISCLAIMER |

Version 5.0
Copyright © 2006-2017 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand