RHB Bank, AMMB suspended as merger talks begin

CIMB Research's top pick is RHB Bank

KUALA LUMPUR: RHB Bank Bhd and AMMB Holdings Bhd have requested for a suspension in the trading of their securities on Thursday.

Banking analysts said on Wednesday the request was for the major shareholders of both banks to begin merger talks.

RHB Bank closed up one sen to RM5.39 while AMMB closed up 11 sen to RM5.21.

Earlier on Wednesday, AMMB announced a strong set of earnings in the fourth quarter.

It reported a 20% increase in earnings at RM335.81mil from RM280.02mil a year ago boosted by higher net interest income (NII).  

Its revenue was RM2.14bil compared with RM2.10bil a year ago. Its earnings per share were 11.17 sen compared with 9.32 sen. It announced a dividend of 12.6 sen a share.