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TNB completes its acquisition of Jordan Commercial Bank branches in Palestine

2020-07-29

The National Bank TNB announced completing the acquisition of Jordan Commercial Bank in Palestine. Through the acquisition deal, TNB will acquire the assets and liabilities of Jordan Commercial Bank versus obtaining 15% of TNB’s paid up capital by Jordan Commercial Bank and one seat in TNB’s board of directors. The acquisition will be executed in a private subscription by Jordan Commercial Bank (as a strategic partner) through offering 13.76 million shares with issuing price of $1 and a premium of $1.25 ($2.25 per share), to raise TNB’s paid-up capital to $91.76 million. With the acquisition completion, TNB’s assets will be raised to $2.70 billion, customer deposits will reach $1.93 billion, and direct credit facilities will be increased to $1.60 billion. The acquisition will also enhance the competitive position of the bank and its financial performance by adding 7 new branches to its current branches, bringing them to 35 branches and offices spread across all provinces in Palestine. The acquisition will also increase TNB’s capital adequacy ratio to 15%; giving the bank additional strength to face any new risks.