NCB, Samba complete historic merger; set up new entity SNB
COMMERCIAL NEWS
Leading Saudi banks - National Commercial Bank (NCB) and Samba Financial Group (Samba) - has announced the formal completion of their historic merger to create a new regional financial powerhouse - Saudi National Bank.
The banking group began trading as a single listed entity under the new combined entity name, Saudi National Bank (SNB), on the Saudi bourse Tadawul from today (April 1).
With over SR896 billion ($239 billion) in total assets, SR127 billion ($34 billion) in shareholders’ equity, and a combined net profit of SR15.6 billion ($4.2 billion), Saudi National Bank is the largest bank in Saudi Arabia with 30% market share across all metrics.
As a strong bank with a robust capital position and strong liquidity, the bank is optimally positioned to finance economic development and enable the delivery of Vision 2030 by leveraging its increased scale, enhanced capabilities, and unparalleled employee talent.
While this completes the legal combination of NCB and Samba, the two banks will continue to service customers as normal while progressing the full integration of products and services.
Saudi National Bank said the customers must continue to bank as normal with their respective banks and promised them that they will not experience any difference in their banking services.
In case of any updates to products, services, or if any action is required from a customer, the bank will communicate in advance to advise of any changes, it stated.
Saudi National Bank Chairman Ammar Al-Khudairy said: “This is truly a historic moment that we can all be proud of. The formation of Saudi National Bank signals a new era of banking for the Kingdom, and I want to thank our shareholders, customers, and employees for their unwavering support."
"Now with the legal completion of the merger, Saudi National Bank is in prime position to compete regionally and locally, ultimately creating a positive impact for all of our stakeholders while accelerating the Kingdom’s journey towards Vision 2030,” he added.
Following earlier approval from the CMA for NCB to increase its capital from SR30 billion to SR44.78 billion, Samba shareholders will receive 0.739 ordinary shares in Saudi National Bank as consideration for every ordinary Samba Financial Group share held.
Equally, Samba shares had been de-listed from the Saudi Stock Exchange (Tadawul), and all its assets, liabilities and operations transferred into the Saudi National Bank, which will continue to honour Samba’s obligations going forward.
Saeed Al Ghamdi, Managing Director and Group CEO, said: "Today marks the beginning of our journey as Saudi National Bank. The legacy banks NCB and Samba served the kingdom over the last 68 years and now, we combine their respective strengths to lead the future of banking that is committed to creating value for the nation and its people."
"Our customers remain our priority, and we look forward to ensuring a smooth transition as entering into the integration process," he added.-TradeArabia News Service
