Banking & Financial Services
 
 

Samba Financial Group (Samba)

 

Samba is one of the leading financial institutions in the Middle East and one of the most profitable retail banks in Saudi Arabia. Samba was named best bank in Saudi Arabia in 2006 by Euromoney and Best Investment Bank Middle East/Africa by Global Finance. Samba had an estimated 2006 market share within Saudi Arabia of approximately 15 percent in terms of total banking assets and 14.3 percent with respect to total banking deposits. In 2006, Samba generated total operating income of SR 7.3 billion and net income of SR 5.2 billion. As of 31 December 2006, its net assets were SR15.3 billion. KHC currently holds 30,000,000 shares of Samba, representing approximately five percent of its total outstanding shares.

KHC's interest in Samba resulted from a series of merger and acquisition transactions beginning with the acquisition of a controlling stake in United Saudi Commercial Bank in 1986, when it was on the verge of bankruptcy. Following a restructuring, United Saudi Commercial Bank was merged with the financially troubled Saudi Cairo Bank in 1997 to create United Saudi Bank, then the fifth largest bank in Saudi Arabia. In 1999, in a pioneering transaction, United Saudi Bank was merged with Samba to create of the largest bank in Saudi Arabia and in the Middle East.

KHC intends to continue its strategic relationship with Samba. The Company believes that Samba continues to be a leader in product innovation and it is pursuing growth and geographic diversification through entry into selected new markets, including Pakistan and Dubai.

Samba