First Bank Merger in 20 Years Sets Saudi Up for More Deals - Bloomberg

First Bank Merger in 20 Years Sets Saudi Up for More Deals - Bloomberg:

"A combination of the Saudi Arabian ventures of HSBC Holdings Plc and Royal Bank of Scotland Group Plc will break an almost 20-year drought for mergers and acquisitions in the country’s banking industry that may spur more deals across the kingdom.

The potential merger of HSBC’s Saudi British Bank and Alawwal Bank comes as lenders in the Persian Gulf’s biggest economy grapple with slowing growth and uncertainty around a government plan to reduce its dependence on oil, which is weighing on demand for loans. At the same time, the country’s overhaul presents an opportunity for banks to get in on major deals, like the listing of Saudi Arabian Oil Co., in what could be the largest-ever initial public offering."



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