JAKARTA (rambuenergy.com) – Dubai Islamic Bank PJSC (DIB) will become majority shareholder of PT Bank Panin Syariah Tbk (PNBS), a listed syariah commercial bank controlled by Bank Panin, after the bank secured approval from the Indonesian Financial Services Authority (OJK).
After being granted this approval from the OJK, DIB is now in a position to initiate and complete phase 2 of the share purchase plan which seeks to increase its shareholding to 40 per cent.
Earlier in Phase 1, DIB had completed the acquisition of around 25 per cent stake in Bank Panin Syariah, procuring the entity’s shares from the market and not through a direct share purchase from Panin Bank as earlier reported in certain sections of the press.
DIB then initiated a formal regulatory approval process to obtain “Controlling Shareholder Status” from the Financial Services Authority after completing the first phase acquisition.
“Islamic banking in Indonesia has huge potential which still remains largely unexploited”, said Dr. Adnan Chilwan, Group CEO, DIB.
“Given Bank Panin Syariah’s knowledge of local market and DIB’s undisputed expertise in this fast growing segment, we see a massive opportunity for growth and expansion transforming what today is seen as a niche business into a more widely accepted form of banking within the country,” he said.
Bank Panin Syariah is currently controlled by PT Bank Panin and operates through a network of 12 branches. The bank is listed on the Indonesia Stock Exchange (IDX).
Based on the IDX data, at present PT Bank Panin Tbk holds 51.97 percent of Bank Panin Syariah, Dubai Islamic Bank PJSC 24.64 percent and the public 23.39 percent.
Dubai Islamic Bank (DIB), established in 1975, is the first Islamic bank to have incorporated the principles of Islam in all its practices and is the largest Islamic bank in the UAE. (*)