KUALA LUMPUR: Affin Holdings Bhd will offer more retail loans and realign its image of ‘corporate-loan bank’ in tandem with its reorganisation exercise, said Group Chief Executive Officer, Kamarul Ariffin Mohd Jamil. He said the bank, which was previously known as corporate loan-centric, aimed to grow its retail loan sector, going forward.
“Previously, the percentage of our loan ratio was 55 per cent corporate and 45 per cent retail. However, to-date, the retail segment has increased to 50 per cent,” he told reporters after the group’s extraordinary general meeting (EGM) here yesterday. At the EGM, the company has received shareholders‘ nod to undertake the corporate exercise, which would culminate in the the transfer of listing status from Affin Holdings to Affin Bank Bhd.
The exercise is expected to be completed in the first half of next year. Kamarul said the reorganisation would also allow the company to grow its capital as full assets of all entities would be under Affin Bank and the bank has direct access to the capital and equity market. “The capital of commercial bank and consolidated group is bigger and the bank will have access to its stockbroking firm, insurance and financial entities.
“This would allow us to offer bigger loans to the market and emerge to be a universal and more diversified financial group, which will allow us not just to be income-based but also fee-based,” he said.
Kamarul said the corporate exercise would entail a proposed distribution by Affin Holdings of its entire shareholdings in Affin Bank, of which the shareholders will receive one Affin bank share for each Affin Holdings share held by them on the entitlement date to be determined and later.
