FIMBank plc - MFSA approves multi-step takeover

On 6 June, FIMBank plc announced that following last week’s approval (as per company announcement dated 30 May 2013) by the Malta Financial Services Authority (MFSA) in relation to the transfer of 35,000,000 shares and 17,948,867 shares in FIMBank by Burgan Bank S.A.K. (Burgan) and United Gulf Bank B.S.C. (UGB) respectively, the Bank was also informed that the MFSA has no objections with respect to the remaining processes of the proposed multi-step transactions between Burgan, UGB and FIMBank.

The shareholders of FIMBank had approved a plan at an Extraordinary General Meeting held on 31 January 2013 comprising a USD60 million equity injection (through the conversion of the two convertible loans) by UGB, a voluntary bid by UGB or Burgan to raise the joint shareholding in FIMBank to above 50% and a minimum USD100 million rights issue. UGB and Burgan have already committed themselves to subscribe to their respective entitlements.