KARACHI – Silkbank Limited, one of the key players in the market in the consumer banking category, has received an expression of interest from M/s. Pakistan Housing Finance Company (PHFC), a subsidiary of M/s. Lake City for the injection of equity up to PKR 12 billion as a “Proposed Investment” subject to all regulatory requirements and financial due diligence.
PHFC is leading a consortium of the like-minded investor group, supported and backed by the well-renowned and experienced management of M/s. Burj Capital has the requisite experience in setting up and successfully managing Islamic and conventional banks in Pakistan.
PHFC has also informed the Bank that in recognition of their standing in the business community and their intent of giving the management role to banking professionals of standing, M/s. Arif Habib Group is also willing to participate in a consortium as a minority stakeholder.
In this regard, the board of directors of Silkbank has granted its “In-principle approval” to pursue the potential investment formally.
The proposed investments shall be subject to the approval of the board, shareholders, Securities and Exchange Commission of Pakistan, and State Bank of Pakistan. Appropriate disclosures will be made per applicable laws, as the matter progresses.
It is expected that the investment will provide a signification boost to Silkbank’s financial position and will enable the bank to further expand its operations by investing in its flagship retail and consumer portfolios which continue to be amongst the top-performing businesses in the industry.
Bank’s consumer division, with credit cards and personal loan products (Personal Installment Loan & Ready Line), have registered phenomenal growth in recent years which is a testament to the customer confidence reposed in the Bank.
