Bank Pembangunan Malaysia Berhad has announced that it has completed its merger with Danajamin Nasional Berhad following the transfer of Danajamin’s business and undertakings to BPMB effective 1 March 2023.
The merger exercise began in September 2021 with agreements signed between BPMB and Danajamin’s then-shareholders, Credit Guarantee Corporation Malaysia Berhad and Minister of Finance (Incorporated) for the 100% acquisition of the financial guarantee insurer.
Since then, the merged entities have been successfully integrated. The integration included establishing a unified leadership team, redefining BPMB Group’s purpose, aspirations and core values, and harmonising processes and systems, as well as employee benefits.
Following the completion of the Business Transfer Scheme exercise earlier this month, the merger formally concluded with the surrendering of Danajamin’s license to Bank Negara Malaysia on 6 March 2023.
This merger was part of the Government’s medium-term plan to strengthen and align the mandates of DFIs to improve the national development finance ecosystem.
BPMB Group Chairman, Tan Sri Nazir Razak said, “The integration of BPMB and Danajamin is the first step towards a stronger and more streamlined development financial institution. sector in Malaysia, better placed to support businesses and targeted economic sectors. BPMB stands ready to move forward with further mergers, at the Government’s direction.”
