Bahrain’s Al Salam Bank Completes Acquisition Of KFH Bahrain
Bahrain-based Al Salam Bank has completed the acquisition of Kuwait Finance House Bahrain (KFH). It is the bank’s fifth merger and acquisition (M&A) transaction and reinforces its position as the country’s fastest-growing bank and the most active M&A player.
With an asset base of more than BD1.49 billion ($3.95 billion), KFH Bahrain will substantially increase Al Salam Bank’s balance sheet by 28 percent, thus increasing its market share and help make enhanced offerings for customers.
The acquisition of KFH follows the successful integrations of Bahrain Saudi Bank in 2009, BMI Bank in 2014, Ithmaar Bank’s consumer business in 2022 and the acquisition of a majority stake in Al Salam Bank Algeria in 2023.
Shaikh Khalid bin Mustahil Al Mashani, Chairman of Al Salam Bank, commented: “The acquisition of KFH Bahrain marks a pivotal step in our growth journey, setting a new standard for M&A excellence in the region. The transaction also underscores our commitment to bolstering Bahrain’s position as a leading Islamic financial center in the region.
“We will continue to implement initiatives to expand our portfolio, cement our position as the fastest growing bank, and achieve our profitability aspirations.”
Al Salam Bank and KFH Group will continue to work together to execute a seamless integration plan and ensure an uninterrupted banking experience for customers. In a statement filed with the Bahrain Bourse and Dubai Financial Market (DFM), the bank said all banking operations, customer engagement, and branch services will continue to operate as usual.
Rafik Nayed, Group CEO of Al Salam Bank, added: “The transaction represents a significant milestone in realising our strategic objectives of achieving significant scale and maximising shareholder value. Our customers will continue to benefit from best-in-class banking products and services, now enhanced by our combined expertise, digital capabilities, and an expanded banking network.
“Our people are integral to realising this vision. Our teams’ combined commitment and expertise, both from Al Salam Bank and formerly KFH Bahrain, will be the key driver of our future successes.”
Al Salam Bank said it would keep customers informed about transaction updates and relevant developments in the integration process.
