Al Rajhi Bank gets SAMA, GAC approval on acquisition of Ejada

Logo of Al Rajhi Bank

Al Rajhi Bank said it obtained the approval of the Saudi Central Bank (SAMA) and no-objection from the General Authority for Competition (GAC) on the economic concentration transaction through the acquisition of the entire shares of Ejada Systems Ltd.

The bank entered into a share sale and purchase agreement on Dec. 8, 2021, with the selling shareholders of Ejada pursuant to which the bank agreed to acquire the entire shares of Ejada, according to a bourse filing.

The completion of the acquisition is subject to customary completion conditions, which are in the process of being satisfied or waived in accordance with the terms of the agreement.

No related parties are in connection with the deal, the statement added.

Commenting on the transaction, the bank’s CEO Waleed Al-Mogbel clarified that the deal will contribute to the development of products and services provided to customers, particularly in digital banking services.

The initiative will support the bank’s continued leadership and superiority in terms of the products and services provided to its customers from retail, corporates, government agencies, and non-profit organizations, which contributes to the stability and acceleration of the growth in the bank’s business and its results.

The bank, through its new identity, “Unbank the Bank”, relies on providing integrated financial solutions to its customers through its offerings and subsidiaries such as Al Rajhi Capital, which offers services in the capital markets; Emkan that provides services in the fields of microfinance, and medium and small enterprises, and Neo Leap, which provides services in the field of digital payment solutions for individuals and corporates.

Through this transaction in the information technology sector, Al Rajhi Bank aims to develop its technological capabilities with the latest technologies that will contribute to its digital transformation to provide the best financial solutions, and meet customers’ expectations through innovative products that keep pace with their changing needs.

This acquisition will have a positive impact on the bank’s operations and the company at the same time, by relying on the expertise and workforce of the company that has marked its position in the information technology sector as one of the leading Saudi companies, the CEO added.