NIB acquisition of Picic termed big development

NIB Bank, a Temasek Holdings' subsidiary of Singapore, on Saturday struck a deal to acquire 63.36 percent Pakistan Industrial Credit & Investment Corporation Limited's (Picic) shares for $342 million (Rs 20.5 billion). Per share price for the deal was fixed at Rs 78.
The acquisition deal was announced at a ceremony held here. Privatisation minister, Zahid Hamid, State Bank of Pakistan (SBP) Dr Shamshad Akhtar, visiting Temasek Holdings, CEO Madam Ho Ching expressed their views on the occasion.
Zahid Hamid said NIB acquisition of Picic was a big development and it will benefit Pakistan in many ways. He said after acquiring Picic, NIB was poised well to enter into Pakistan's many promising areas for investment and get better return on investment. He said NIB would be provided a conducive atmosphere to conduct its operations any sector of its choice across Pakistan.
Dr Shamshad Akhtar said NIB acquisition of PICIC was indicative of confidence of international banking sector in Pakistan's growing economy. She said NIB's deal for PICIC shareholding was 31st since 2000. She said despite apprehensions from certain sectors she was firm believer that this process was going to pay Pakistan good dividend in the long run.
SBP Governor said the commercial banks should refrain from charging on personal account and instead take the responsibility as corporate citizens. She added that NIB together with PICIC will provide a platform to develop many new products in Pakistan.
Temasek Holdings CEO said the increasing level of foreign investments is testimony to the growing international confidence in Pakistan. She said Temasek's investment in Pakistan through NIB Bank and now in Picic gives the company a broad-based exposure to this growing economy via the financial sector.
Apart from existing products and services, the merged NIB will benefit from Temasek's experience of changing financial paradigms across numerous countries in Asia,
Madam Ho Ching said believes in core principal investment themes, such as transforming economies and Pakistan is certainly one of the most promising countries and its 6 to 8% economic growth over the last several years was its clear indication. She added that investment in NIB Bank and now in PICIC gives Temasek a broad based exposure to Pakistan's growing economy.