Lebanon's Blom Bank Just Sold Egyptian Subsidiary For $480 Million
Bahrain's Arab Banking Corporation (ABC) completed its acquisition of the Egyptian subsidiary of the Lebanese Blom Bank for $480 million on Thursday, according to Reuters that quoted two banking sources.
The transaction included all of Blom Bank Egypt’s physical and non-physical assets as well as customer accounts.
Back in December, Lebanon's Blom Bank, which owns 99.42% of the issued share capital of Blom Bank Egypt, said it had entered exclusive talks with Bahrain’s ABC.
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As of September 30th of 2020, Blom Bank Egypt listed assets of 45.06 billion Egyptian pounds ($2.88 billion). Only recently it reported a net profit of 205.6 million Egyptian pounds, down from 229.5 million a year earlier.
This development comes as Lebanese banks are trying to strengthen their finances in their country that is experiencing the toughest financial crisis to date.
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Days before the end of the year 2020, Lebanon-based Bank Audi, one of the country’s largest lenders, initially agreed to sell its subsidiaries in Jordan and Iraq to Amman-based Capital Bank.
Officials at Bank Audi declined to reveal the price of the two assets.