Jordan Kuwait Bank acquires 10% of Al Quds Bank and merges its branches in Palestine with Al Quds Bank
Jordan Kuwait Bank (JKB) and Al Quds Bank announced the signing of a strategic partnership agreement between them, whereby Jordan Kuwait Bank’s branches in Palestine and its assets and liabilities will be merged with Al Quds Bank. As part of the agreement Jordan Kuwait Bank will acquire 10% of Al Quds Bank's capital and obtain a seat on its Board of Directors.
The agreement was signed last Thursday in Amman by H.E. Mr. Abdel Karim Kabariti, Chairman of Jordan Kuwait Bank and Mr. Akram Abdel-Latif Jerab, Chairman of Al Quds Bank. The signing ceremony was attended by Mr. Muntaser Alshashtari and Mr. Zaid Al-Jallad, CEO Deputies of Al Quds Bank and by Mr. Mohammad Yasser Al Asmar, General Manager of JKB, Mr. Tawfiq Mukahal, Deputy General Manager, and Mr. Haethum Buttikhi, Head of Retail and Private Banking.
This agreement came as a positive step towards encouraging banks operating in Palestine to merge, thus enhancing the financial strength of such banks to serve the Palestinian economy.
Commenting on the agreement, Mr. Abdel Karim Kabariti, Chairman of Jordan Kuwait Bank, stated: "This step affirms Jordan Kuwait Bank’s confidence in the performance of the Palestinian economy and particularly the banking sector, and reflects the keenness of the Bank's shareholders and Board of Directors to continue to be present in the Palestinian market more effectively through transforming its presence and investment of four branches in Palestine to a 10% stake in Al Quds Bank.”
Chairman of Al Quds Bank, Mr. Akram Abdel-Latif Jerab, commented on the agreement saying: "This agreement is part of Al Quds Bank's policy and strategy aimed at enhancing confidence in the Palestinian economy and advancing banking services through mergers and geographical expansion."
It is worth noting that the execution of the merger arrangements will take some time.
Sanad Capital, the financial advisor to both parties, in collaboration with PricewaterhouseCoopers (PWC), provided financial and technical advice to complete this merger with the highest level of transparency and professionalism.