KARACHI – Hatton National Bank (HNB) of Sri Lanka has officially withdrawn from its proposed acquisition of Bank Alfalah’s operations in Bangladesh, according to a notification shared by Bank Alfalah Limited (BAFL) with the Pakistan Stock Exchange (PSX).
HNB had initially submitted a non-binding offer last year to acquire the Bangladesh-based operations of BAFL. The proposal received in-principle approval from the central banks of both Pakistan and Bangladesh, allowing HNB to conduct due diligence on the target operations. On November 15, 2023, formal approvals were granted by both regulators for the due diligence process to move forward.
However, recent developments indicate that the Sri Lankan lender has decided not to pursue the transaction further.
“The CEO of HNB has informed that their Board of Directors, in a meeting held on April 2, decided not to proceed with the acquisition of Bank Alfalah’s operations in Bangladesh,” stated an official letter sent by BAFL to the PSX.
Bank Alfalah maintains a network of more than 1,024 branches across over 200 cities in Pakistan, along with an international footprint in Afghanistan, Bangladesh, Bahrain, and the United Arab Emirates. HNB, one of Sri Lanka’s leading private-sector commercial banks, operates 251 branches across the country.
