Bank Asia is now under the ownership of a Pakistani bank.

Pakistan’s leading commercial lender, Bank Alfalah, is set to withdraw its banking operations from Bangladesh as part of a broader strategic realignment, with its local business poised to be acquired by Bank Asia Limited for approximately USD 47.5 million (around BDT 5.8 billion).

Bank Alfalah is among the largest private sector banks in Pakistan, operating a vast domestic network across more than 200 cities with over 1,000 branches. The bank also maintains an international presence in Afghanistan, Bangladesh, Bahrain, and the United Arab Emirates. However, in recent months, the lender has begun scaling back its overseas footprint, starting with Afghanistan earlier this year, followed by its decision to exit Bangladesh.

The divestment of its Bangladesh operations marks a significant step in this restructuring process. Shareholders of Bank Alfalah have formally approved the sale of its Bangladeshi business to Bank Asia Limited, a prominent local financial institution headquartered in Dhaka. The transaction value has been set at an estimated USD 47.5 million, equivalent to roughly BDT 580 crore.

A reliable source within Bank Asia confirmed that the acquisition process has already advanced significantly, with an internal audit of Bank Alfalah’s Bangladesh operations completed in recent months. The process, which began earlier this year, involved a detailed review of assets, liabilities, branch infrastructure, and operational compliance.

Reports indicate that approval has also been granted through Pakistan’s capital market authorities, suggesting that the transaction could be finalised shortly, subject to regulatory clearance. Once completed, Bank Asia will assume full control of Bank Alfalah’s assets, liabilities, and operational network in Bangladesh.

The decision was formally disclosed at Bank Alfalah’s 78th Annual General Meeting (AGM), and the minutes of the meeting were submitted to the Pakistan Stock Exchange last Friday. According to the approved resolution, the bank has been authorised to transfer its Bangladesh operations to Bank Asia, with the agreed base consideration set at approximately BDT 580 crore.

However, the final transaction value may be subject to adjustments in accordance with applicable legal and regulatory frameworks in both jurisdictions. The deal remains conditional upon approvals from the State Bank of Pakistan and Bangladesh Bank, the central regulatory authorities of the two countries.

Key Details of the Transaction

Bank Asia, established in 1999, has progressively expanded its footprint through strategic acquisitions of foreign banks’ local operations. Over the years, it has integrated the Bangladesh operations of institutions such as Bank of Nova Scotia and Muslim Commercial Bank, strengthening its position in the country’s competitive banking landscape.

If completed, the acquisition is expected to further consolidate Bank Asia’s market presence, enhance its international banking capabilities, and contribute to greater consolidation within Bangladesh’s financial sector.