KUALA LUMPUR (Oct 8): Bank Islam Malaysia Bhd has taken over the listing status of BIMB Holdings Bhd (BHB) with effect from Friday, making it the first pure-play full-fledged Islamic financial institution listed on the Main Market of Bursa Malaysia.
In a statement, Bank Islam said the listing marks the completion of BHB’s restructuring exercise, which comprises a private placement, a scheme of arrangement to settle outstanding warrants, and the internal reorganisation of subsidiaries.
The reorganisation also includes a distribution and capital repayment exercise involving the distribution of BHB’s entire shareholdings in Bank Islam and Syarikat Takaful Malaysia Keluarga Bhd to the shareholders of BHB.
Following the completion of the exercise, BHB will be a wholly-owned subsidiary of Bank Islam, with the bank assuming the parent company role, while Takaful Malaysia will be a standalone takaful operator with diversified and strong institutional shareholders.
“Bank Islam will be accorded full autonomy in undertaking and pursuing its corporate and business strategies and adopt capital management initiatives with the completion of this corporate exercise,” said BHB and Bank Islam CEO Mohd Muazzam Mohamed.
“With the listing, Bank Islam will have access to a wider and divers capital base, allowing for its efficient use towards greater support of its future expansion programmes and business growth,” he said.
Mohd Muazzam added that the listing also opens up opportunities for investors to participate directly in the equity and future growth of the new Bank Islam group, which includes BIMB Investment Management Bhd and BIMB Securities Sdn Bhd.
“Through a synergistic and holistic approach, Bank Islam aspires towards a prominent position in offering shariah-ESG total financial solution through renowned excellence in digital banking and social finance by the year 2025,” he said.
Mohd Muazzam said the listing provides the avenue for Bank Islam to capitalise on growth in Islamic finance and the Islamic capital market, and support its efforts to expand its customer base.
The bank is embarking on a five-year business strategy roadmap, LEAP25, aiming to redefine its growth and work in new ways to address the challenges brought by Covid-19.
"We received tremendous response and strong demand from domestic and international retail and institutional investors, including some of the biggest names in the investment community.
“On behalf of Bank Islam Group, I welcome all our shareholders and investors as we embark on an exciting future for Bank Islam and further catalyse the growth of the Islamic equity market in the country and region," Mohd Muazzam said.