Malaysia: Khazanah may offload holding in Bank Muamalat, ahead of merger

Malaysias second Islamic bank set up in 1991.

State investment fund Khazanah Nasional Bhd is expected to dispose off its entire 30 per cent interest in Bank Muamalat to major shareholder DRB-Hicom Bhd ahead of the proposed merger between Bank Muamalat and Malaysia Building Society Bhd (MBSB) materialises, analysts opine.

An analyst at an investment bank said, there is little reason for the government-backed strategic investment fund to continue to hold the stake in Bank Muamalat as its shareholding would be diluted after the completion of the merger, local media The Malaysian Reserve reported.

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