Bank Islam Malaysia has become the first full-fledged Islamic financial institution to be listed in the main market of Bursa Malaysia today, taking over the listing status from BIMB Holdings Berhad (BHB).
The listing marks the completion of the BHB Group’s restructuring exercise, which entails a private placement exercise, a scheme of arrangement to settle outstanding warrants, and the internal reorganisation of subsidiaries.
The internal business realignment measures also include distribution and capital repayment exercise involving distributing BHB’s entire shareholdings in Bank Islam and Takaful Malaysia, to the shareholders of BHB, and lastly, the transfer of listing status of BHB in the main market to Bank Islam.
Concurrently, BHB will become a wholly-owned subsidiary of Bank Islam, with the bank assuming the parent company role.
This exercise results in Takaful Malaysia becoming a standalone Takaful operator with diversified and strong institutional shareholders.
Maybank Investment Bank acted as the Principal Advisor for BHB on its restructuring exercise.
The listing opens opportunities for investors to participate directly in the equity and future growth of the new Bank Islam Group, which includes BIMB Investment Management and BIMB Securities.
Through a synergistic and holistic approach, Bank Islam said that it 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.
Mohd Muazzam Mohamed, Chief Executive Officer of BHB and Bank Islam said,
“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.
With the listing, Bank Islam will have access to a wider and diverse capital base, allowing for its efficient use towards greater support of its future expansion programmes and business growth. In addition, the group will have greater scale and ability to support its organic growth.”