Bank Alfalah Limited has shown interest to acquire IGI Investment Bank and its two subsidiaries. According to information sent to Karachi Stock Exchange, IGI Investment Bank Limited and Bank Alfalah Limited are negotiating for the take-over by Bank Alfalah of IGI Investment Bank together with its wholly owned subsidiaries.
It is proposed that the take-over would be implemented by way of merger in terms of scheme of amalgamation under Section 48 of Banking Companies Ordinance 1962. According to information, Bank Alfalah is shortly starting due diligence of IGI Investment Bank and its subsidiaries.
Subject to the result of this due diligence, applicable consents and regularly approvals, if required, the parties will enter into a definitive agreement, which will cover the swap ratio of shares /consideration value as well. However they both have said that till the definitive agreement is singed there is no binding commitment on the part of the parties to proceed with merger.