S Alam Group to fortify grip on SIBL

Chattogram-based S Alam Group has moved to strengthen its grip on the Social Islami Bank Limited (SIBL) as its sister concern Hasan Abasan (Pvt) Limited has announced to buy over 1.98 crore shares or nearly 2 percent stakes of the company at prevailing market price.

Hasan Abasan, which is one of the corporate directors of SIBL, already has over 2 crore shares or 2.06 percent stakes in the bank. With the latest buying, Hasan Abasan’s stakes in the bank would be around 4 percent.

Hasan Abasan is represented by Anwarul Azim Arif, a former vice-chancellor of Chittagong University. He is also the current chairman of the bank. Osman Gani is the managing director of Hasan Abasan and a director at S Alam Cold Rolled Steels Ltd.

A number of companies owned by S Alam Group have holdings in SIBL and the group took over the control of the bank by replacing some previous directors in 2017. Some 19 companies bought about 50 percent stake in SIBL at that time and some of these companies have direct links with S Alam Group.

Belal Ahmed, who represents Unitex Steel Mills Ltd, a concern of S Alam Group, in the bank, is also the vice chairman of the bank. Ahmed is the son-in-law of S Alam Group’s chairman.

Jebunnesa Akbar, representative of Unitex Cement Ltd, also a concern of S Alam Group, is also a director in the bank.

A share of SIBL was last traded at Tk 14.3 and at that rate Hasan Abasan will need over Tk 28.32 crore to buy the shares it announced on Tuesday.