Bank Alfalah Limited (BAFL) has disclosed that Hatton National Bank (HNB) of Sri Lanka has decided not to proceed with the acquisition of the bank’s operations in Bangladesh.
Bank Alfalah disclosed this information through a notification to the Pakistan Stock Exchange (PSX) on Friday.
This decision was made by HNB’s Board of Directors on April 2, 2025, following previous disclosures about a non-binding offer from HNB and approvals granted by the central banks of Pakistan and Bangladesh.
The bank had initially communicated in August and November 2024 about HNB’s offer and the in-principle approval to begin due diligence on the acquisition.
However, in the latest development, Bank Alfalah has informed the Pakistan Stock Exchange and the Securities & Exchange Commission of Pakistan (SECP) that the acquisition plans have been halted.
“We refer to the disclosures of material information made by Bank Alfalah Limited on 26th August 2024 and 15th November 2024 regarding the non-binding offer from Hatton National Bank of Sri Lanka to acquire the Bank’s Bangladesh Operations and the in-principle approval granted by the Central Banks of Pakistan and Bangladesh for HNB to commence due diligence on the Bank’s Bangladesh Operations,” read BAFL’s notice sent to the PSX.
“We have now been informed by the CEO, HNB, that their Board of Directors in its meeting held on 2nd April 2025 has decided not to proceed with the acquisition of the Bangladesh Operations of Bank Alfalah,” it added.
The bank has asked the stock exchange to notify TRE certificate holders of this change in plans.