The Board of Directors of United Bank Limited (UBL), in its 252nd meeting held on Monday, approved the amalgamation of Silk Bank Limited (SBL) with and into UBL through a share swap arrangement, in accordance with Section 48 of the Banking Companies Ordinance, 1962.

The board approved the Agreement to Amalgamate, the Scheme of Amalgamation, and other related documentation required to finalize the merger.

As part of the arrangement, UBL will issue 27,944,188 new ordinary shares with a face value of PKR 10/- each. The swap ratio has been set at one new UBL share for every 325 shares of SBL, each with a face value of PKR 10/-. This excludes any rights issue.

The amalgamation is subject to several conditions, including:

• Execution of definitive agreements related to the merger by all parties involved.
• Approvals from corporate bodies, including shareholders of both UBL and SBL.
• Regulatory clearances, including approval from the Competition Commission of Pakistan (CCP) and other relevant authorities.
• Sanction of the Scheme of Amalgamation by the State Bank of Pakistan (SBP) under Section 48 of the Banking Companies Ordinance, 1962.