Jordan’s Capital Bank has signed an agreement to acquire Société Générale Jordan in a bid to further strengthen its position in the domestic market.
As agreed, Capital Bank will acquire 100% of Société Générale Jordan’s capital. The financial details were not disclosed.
It will also enable the lender to add all Société Générale’s branches and operations in Jordan to its portfolio, subject to approvals from regulatory and supervisory authorities.
The scope of the deal also includes Société Générale Jordan’s financial brokerage company. The clients of the brokerage company will join Capital Bank Group’s investment business Capital Invest.
Capital Bank reportedly secured board approval to proceed with the deal in December last year.
Capital Bank CEO Dawod Al Ghoul said: “After the completion of the acquisition, Capital Bank will have an even stronger financial standing, which will, in turn, advance its competitive position both locally and regionally.
“The bank will continue implementing its digital transformation plan, providing innovative and effective services to its growing client base.”
Société Generale General Manager Nadim Abawat said: “Through this agreement, we will be able to offer added value to the bank’s clients, with whom we have a strong relationship, especially in light of Capital Bank Group’s forceful steps towards digital transformation, which is a valuable investment that will allow future challenges to be met and will open the way for more sophisticated and effective banking solutions.”
With assets of around JOD4bn ($5.64bn), Capital Bank Group is one of the largest banking companies in Jordan and regional markets.
The acquisition of Société Générale Jordan will increase its assets to nearly JOD6bn.