source:Al Ansari Financial Services
DUBAI, United Arab Emirates, Oct. 17, 2023 (GLOBE NEWSWIRE) — Al Ansari Financial Services PJSC (AAFS), a leading provider of integrated financial services in the UAE, announce that they have officially completed the acquisition of BFC Group Holdings W.L.L. (BFCGH), a prominent foreign exchange and remittance service provider in the Kingdom of Bahrain. Valued at around AED 735 million ($200 million), the transaction represents a significant milestone in AAFS’s planned strategic expansion across the region.
The acquisition reinforces the strength of AAFS’s footprint strategically across the Gulf The Cooperation Council (GCC) and neighbouring markets. Its combined retail footprint now has more than 410 branches across the UAE, Bahrain, Kuwait and India , a 60% increase. The staff has grown to nearly 6,000 employees.
Expansion Plans through Strategic Acquisition Rashed Ali Al Ansari, Group CEO of AAFS, underlined the strategic nature of the deal, noting, “This acquisition is a strategic move in our growth journey, positioning AAFS as the region’s leading service provider in foreign exchange and remittance.”
Since its launch in 1917, BFC Group, which has more than 100 years of experience, also holds a strong foothold in Bahrain, Kuwait and India. With AAFS this collaboration is designed to assist with improved service capabilities, a wider customer reach, and greater all-around operational efficiency.
Pro forma for the transaction, the combined company has estimated 2023 pro forma revenues of approximately $385 million (AED 1.4 billion) — a pro forma growth rate of 22% relative to AAFS’s stand-alone revenue. This increase is symbolic of synergies as well as growth opportunities unlocked by the merger.
The deal marks the latest move by AAFS to expand geographically long-term growth and its value to its shareholders through expanding its services.
Added this step reaffirms AAFS position as a strong competent in the regional financial services, with synergies to take advantage of growth management across more than one high-performance markets.
Release date: October 3, 2021 In summary, Al Ansari Financial Services acquiring BFC Group Holdings is a gamechanger in the region’s financial services industry. Despite ongoing questions over the validity of BFC’s financial records from 2020, BFC’s strategic merger greatly expands AAFS’s physical footprint and operational scale in the region. The partnership — which will offer a combined network of more then 410 branches and nearly 6,000 employees — is expected to create a powerful new force that will drive synergies, revenue growth and cement AAFS’s position as a leading force in the foreign and remittance market across the GCC and beyond.
