Bank Al Salam relinquishes its share in Seef Properties to GFH, marking a strategic repositioning.
Bahrain's largest Islamic financial institution, Al Salam Bank, has sold its 15.6% stake in Seef Properties to regional investment group GFH, marking a strategic shift towards focusing on core banking and financial services. The transaction was facilitated by ASB Capital, the bank's newly launched asset management arm, acting as the sell-side advisor.
This move is part of Al Salam Bank's broader portfolio optimisation strategy, aiming to concentrate on sectors that align with its long-term strategic vision - specifically banking, takaful (Islamic insurance), and asset management. The bank aims to exit non-strategic holdings and reallocate capital towards sectors offering stronger synergies and more sustainable value creation.
Rafik Nayed, Group CEO of Al Salam Bank and Managing Director of ASB Capital, stated, "This transaction demonstrates our commitment to streamlining investments and focusing on areas that offer operational leverage and long-term return potential." ASB Capital played a key role in structuring and executing the exit, showcasing the firm's advisory and capital market capabilities, despite global market volatility.
GFH's acquisition of the stake adds to its expanding investment footprint in Bahrain, while Al Salam Bank continues to build a leaner, more focused financial services group. ASB Capital, with assets under management (AUM) of $4.5 billion, is positioning itself as a go-to player for private equity, syndications, and capital market solutions in the Gulf, signaling broader ambitions in the region's evolving investment landscape.
The deal signifies a significant step for Al Salam Bank in its efforts to sharpen its focus and reduce exposure to non-core investments, paving the way for increased operational efficiency and strategic growth within its core sectors.
- The major sale by Al Salam Bank of its stake in Seef Properties to GFH indicates a strategic shift in focus towards banking, takaful, and asset management, which align with the bank's long-term vision.
- ASB Capital, having facilitated the sale and acting as the sell-side advisor, is working towards positioning itself as a key player in private equity, syndications, and capital market solutions in the Gulf, aiming for broader regional ambitions in the evolving investment landscape.
