Islamic Bank takeover deadline extended for a further month

TALKS regarding the possible takeover of Birmingham-based Islamic Bank of Britain are to continue after regulators gave the various parties more time to decide whether a deal could be completed.

The bank is holding talks with Masraf Al Rayan (MAR) regarding a possible offer for the whole of the issued share capital of IBB.  

IBB had said before Christmas that while it had not received a direct approach from MAR, its main shareholder Qatar International Islamic Bank (QIIB) was progressing talks with MAR regarding the sale of its IBB shares, which represent 90.96% of the Birmingham bank’s issued share capital of IBB.

The IBB shares carry 30% or more of the voting rights of IBB and would trigger the requirement for a general offer.  MAR has confirmed that if any offer is made it is likely that it would be solely in cash.
 
The panel on Takeovers and Mergers has now agreed to extend the deadline on talks until July 23.

IBB, which is being advised on the matter by Birmingham-based corporate finance firm Cattaneo, said it would update the market when there was any development.