QIB seeks ‘strategic’ stake in Bank Asya

QIB intends to support Bank Asya’s medium-to-long-term growth strategy to position it as the leading Islamic bank in Turkey.

Qatar Islamic Bank (QIB) is contemplating a “strategic” stake acquisition in Bank Asya, the largest participation (Islamic) Bank in Turkey as part of its international expansion.

QIB intends to support Bank Asya’s medium to long term growth strategy to position it as the leading Islamic bank in Turkey, a QIB spokesman said, confirming that it has entered into an “exclusive discussions” with Turkish lender. However, the spokesman did not disclose the details on the stake size and amount involved. QIB is seeking to finalise the transaction within the next few months, subject to obtaining the required regulatory approvals. QInvest is acting as financial adviser to QIB.

QIB — which has shareholders equity of QR13.7bn and assets worth QR77.3bn in 2013 — has adopted a long term vision for global growth and aspires to continue expanding its operations beyond the existing overseas markets.

QIB has operations in various countries including the UK, Malaysia, Lebanon and Sudan.

Established in 1996 and listed on the Istanbul Stock Exchange in 2006, Bank Asya’s shareholders equity stood at 2.5bn Turkish Lira (TL), assets valued at TL29bn, cash financing of TL21bn and deposits to the tune of TL19bn in the year ended 2013.

In 2013, the bank made net profit of TL181mn. It is the largest Islamic bank and the 13th largest bank overall ranked by assets in the Turkish banking sector.

Bank Asya has several non-banking financial subsidiaries including Isik Insurance, Tuna REIT (real estate investment trust), Asya Securities and Asya Venture Capital.

Bank Asya provides innovative financial solutions to its 4.2mn customers through its 281 branches, about 1,000 ATMs and 1,000 international correspondent banks.