Saudis Seek Advisers for Bank Merger
National Commercial Bank and Riyadh Bank, two of Saudi Arabia’s largest banks, have sent out a request for proposal seeking advisers, following discussions over a merger.
Saudi Arabia’s National Commercial Bank and Riyadh Bank have sent out a request for proposal to firms including Citigroup, Credit Suisse Group, Goldman Sachs Group, HSBC Holdings, JPMorgan Chase & Co, and UBS Group as the two banks are seeking advisers for a potential merger, Bloomberg reported, citing unnamed sources.
In December, Bloomberg reported that the two banks were engaging in talks over a possible merger that if completed, would be the biggest bank merger globally since 2016 and create the Gulf region’s third-biggest lender, with US$182 billion in assets.
Public Investment Fund, the country’s sovereign wealth fund, owns 44 percent of National Commercial Bank and 22 percent of Riyadh Bank and supports the merger, according to Bloomberg. An announcement about the appointment of advisers is expected this month.
