LAWFUEL – UK Legal News Network – Lovells has advised Standard Chartered (Pakistan) Limited (‘Standard Chartered’) on its acquisition of an 80.9% stake in Union Bank Limited for $413 million, the biggest acquisition in the Pakistan banking sector to date. The deal was signed on 9 August 2006.
The consideration for the acquisition will be cash financed by Standard Chartered from internal resources. Prior to completion, Standard Chartered is obliged under Pakistan law to make a tender offer for the remaining shares of Union Bank Limited. This is likely to start on or around 12 August and should close by 1 September. The acquisition is expected to close shortly thereafter.
Union Bank is Pakistan’s eighth biggest bank. This deal will make Standard Chartered the sixth biggest bank in Pakistan by market share of assets.
The Lovells team was led by Head of Corporate Finance Hugh Nineham, assisted by James Parker.
Commenting on the deal, Hugh Nineham said:
“We are extremely pleased to have had the opportunity to assist Standard Chartered in making this strategically important acquisition – the largest ever in the Pakistan banking sector. We believe that our close working relationship with Standard Chartered’s experienced in-house legal team has made a significant contribution to the success of this transaction. The transaction further underlines our expertise in relation to international and emerging markets M&A.”
Notes for editor
With over three thousand people operating from 26 offices in Asia, Europe and the United States, Lovells is one of a small number of truly international law firms. We advise many of the world’s largest corporations, financial institutions and governmental organisations. We regularly act on complex, multijurisdictional transactions as well as some of the most high-profile commercial disputes.
Lovells’ international financial institutions group has over 40 partners and more than 80 associates worldwide with the expertise and resources to manage the most complex projects in the financial services sector. The group advises on acquisitions, disposals, mergers, joint ventures and reorganisations of financial institutions as well as commercial transactions in the sector (such as marketing and distribution agreements, outsourcing and reinsurance) and regulatory and compliance matters.