SAIB shareholders to vote on Mizuho's full stake buyout in March

Saudi Investment Bank's (SAIB) shareholders will vote on acquiring Japanese Mizuho Corporate Bank Limited's full stake in the bank in the extraordinary general assembly meeting to be held on Mar. 28.

SAIB will vote on buying Mizuho's 2.50 percent stake, or 18.7 million shares as treasury shares, for SAR 13.50 per share, totaling SAR 253.1 million, the bank said in a bourse statement on Thursday.

The acquisition will be financed from SAIB's internal funds and assets. The bank is not planning to cut its capital base.

It will rather retain these stocks as treasury shares for resale through a rights issue within a maximum of 18 month from the deal closure date, pending the necessary regulatory approvals.

Shareholders will also discuss authorizing the board of directors to close the acquisition either at one time or gradually, and this authorization will be valid for 12 months starting from the shareholders' decision.

The board will be also authorized to sell the shares acquired from Mizuho in one time or gradually, the statement added.

Late in November 2018, SAIB signed an agreement to buy Mizuho's 2.50 percent stake, or 18.7 million shares, for SAR 253.1 million, Argaam reported.