MBSB seeks approval for MIDF acquisition

KUALA LUMPUR: Malaysia Building Society Bhd (MBSB) has submitted an application to Bank Negara Malaysia (BNM) to seek approval for its proposed acquisition of Malaysian Industrial Development Finance (MIDF) from Permodalan Nasional Bhd to form a universal Islamic banking group.

Subject to the approval of BNM and/or the Finance Ministry being obtained, a definitive sale and purchase agreement would be signed by the transacting parties, it said in a filing with Bursa Malaysia today.

Subsequently, the approval of other regulators and shareholders would be sought.

"The proposed transaction is strategic as MBSB Bank and MIDF are two distinctively positioned financial services groups with complementary products and services.

"The universal Islamic banking group is envisaged to offer a wider range of financial solutions to a broader range of customers,” it added. - Bernama