FMB announces buying Opportunity Bank of Malawi

FMB, one of the country’s commercial banks listed on the Malawi Stock Exchange (MSE),  has announced that it is taking over the Opportunity Bank of Malawi (OBM).

Briefing reporters in Lilongwe,  FMB chairman Hitesh Anadkat said the two banks have agreed the take over, saying the acquisition of OBM will increase his bank’s balance sheer by 15 percent.

“I have no doubt that we will elarn agreat deal from our OBM colleagues about how to carry out FMB’s strategic intent of growing our structured finance business, especially with smallholder farmers,” said Anadkat.

FMB which recently competed the acquision of the controlling stake in Barclays Bank Zimbabwe Limited, also disclosed intentions to transfer their shares in FMB to Mauritian based FMB Capital Holdings Plc (FMBCH.

“We are making Mauritius our legal head office and what this means is that current shareholders will get a share to share swap in FMBCH. They will trade and buy shares as they were previously doing,” he said.

FMB which has been trading on the Malawi Stock Exchange (MSE) since 2006 has 2.3 billion shares in issue on the local bourse.

In the period ending December 31 the bank posted a net profit after tax of K5 184 million which was 32 percent  up on the figure for 2015 largely due to considerably stronger returns by both interest and non-interest activities.