According to various reliable media sources, Summit Bank and Sindh Bank are most probably in their last stages of merger. The newfound bank after the unison would be named as Sindh Summit Bank.
The sources have hinted that a senior banking supervisor of the merger has revealed that diligence between both banks has nearly been completed and they are ready to merge their operations into one.
A Non-Objection Certificate (NOC) will be issued to both banks. During the time period, Summit Bank will get the consent of shareholders through a general body meeting.
As soon as the merger plan was finalized, Summit Bank ended its plan to convert all of its operations into Sharia-based Islamic banking. On the other hand, Sindh Bank has also withdrawn its official application seeking to be listed on the Pakistan Stock Exchange.
Summit Bank has been facing consecutive losses since a long time with non-performing loans piling up to Rs 2.1bn in 2016. While, Sindh Bank has been working on quite profitable margins accounting up to Rs 1.39 bn.