Sarawak government now largest shareholder of Affin Bank with 31.25 pct stake

1 month ago 10

ADVERTISE HERE

By Ashley Sim and Karen Bong

KUCHING, Sept 27: The Sarawak government, through its wholly owned subsidiary SG Assetfin Holdings Sdn Bhd, has become the largest shareholder of Affin Bank Berhad (Affin), acquiring a 31.25 per cent stake.

This milestone was formalised at a ceremony held at the Sheraton Hotel, witnessed by the Premier of Sarawak, Datuk Patinggi Tan Sri Abang Johari Tun Openg.

Prior to this acquisition, the Sarawak government held a 4.81 per cent stake in Affin Bank. With the conclusion of the share purchase agreement (SPA) for shares owned by the Armed Forces Fund Board or Lembaga Tabung Angkatan Tentera (LTAT) and Boustead Holdings Bhd, their stake has increased significantly.

This strategic move is poised to benefit Affin Bank by accelerating its growth and reinforcing its position as a leading financial institution in the banking sector.

Addressing attendees at the ceremony, Abang Johari emphasised that the decision to invest in Affin was driven by the need to establish a financial platform and foster synergy with a sound and capable bank, which is essential for maximising Sarawak’s vast economic potential.

He noted the remarkable progress and achievements in Affin Group as at the second quarter of this year, the bank has reported total assets amounting to RM108.2 billion, with a strategic goal to almost double this figure to RM180 billion by 2028.

“Sarawak’s Post Covid-19 Development Strategy 2030 (PCDS 2030) is a comprehensive plan aimed at driving sustainable economic growth and enhancing the quality of life for our citizens.

“A supportive banking partner is crucial to achieving the objectives of PCDS 2030. Collaboration with Affin will be vital in realising this development plan, positioning Affin as a key catalyst in supporting Sarawak’s sustainable economic agenda,” he said.

By leveraging Affin’s extensive network and expertise, Abang Johari emphasised the government’s commitment to unlocking new opportunities, facilitating access to capital, and igniting the entrepreneurial spirit within the community.

“Together, we will create a financial ecosystem that nurtures innovation, promotes financial literacy, and empowers our communities to achieve their aspirations,” he added.

He expressed his confidence that, with the unwavering commitment and collective efforts of the team at Affin, the bank would flourish and become a beacon of financial excellence for both Sarawak and the nation.

Deputy Defence Minister Adly Zahari expressed optimism about the strategic decision, which is expected to yield substantial returns for LTAT contributors, members of the Malaysian Armed Forces (MAF).

“LTAT will not only strengthen its long-term financial stability but also ensure that our contributors’ savings consistently benefit from reliable returns and sustainable growth, underscoring our commitment to their financial well-being,” he remarked.

Affin Bank Berhad president and Group chief executive officer (CEO) Datuk Wan Razly Abdullah highlighted that this agreement represents not just a milestone but a quantum leap into a new frontier of excellence.

“With this strategic move, we aim to reshape the banking landscape through bold innovations and creative solutions, securing our relevance and significance in the industry,” he said.

He added that this agreement aligns perfectly with Affin’s vision of becoming the ‘Most Creative and Innovative Financial Company,’ supporting the key pillars of the Affin Axelerate 2028 (AX28) plan: ‘Unrivalled Customer Service’, ‘Digital Leadership’, and ‘Responsible Banking with Impact’.

Affin reaffirmed its commitment to strengthening its position and working closely with all stakeholders to achieve shared goals and deliver exceptional value. — DayakDaily

Read Entire Article