Al Ansari Financial Services Acquires BFC Group, Becomes Largest Non-Banking Financial Institution in GCC

TDT | Manama

Email: mail@newsofbahrain.com

Al Ansari Financial Services PJSC (AAFS), a leading financial services group in the UAE and parent company of Al Ansari Exchange, has announced the successful completion of its acquisition of BFC Group Holdings (BFC), following the receipt of all necessary regulatory approvals. The USD 200 million deal cements AAFS’s status as the largest non-banking financial institution (NBFI) in the Gulf Cooperation Council (GCC) region in terms of branch network.

This strategic acquisition significantly expands AAFS’s regional footprint across Bahrain, Kuwait, and India, increasing the Group’s customer base by 29% and branch network by 60%. The integration enhances the Group’s operational scale and geographic reach, promising greater value for shareholders, customers, and employees.

Digital Innovation at the Core

AAFS has been a pioneer in financial technology through its award-winning Al Ansari Exchange app and a suite of advanced digital services. The Group is actively incorporating artificial intelligence into various operations to boost personalization, efficiency, and fraud prevention.

The Group aims to extend its successful digital-first model to BFC entities, reinforcing its leadership in tech-driven financial services across the region.

Strategic Gains from the Acquisition

Market Leadership: AAFS now leads the NBFI sector in the GCC, strengthening its dominance in remittances and foreign exchange.

Regional Expansion: The acquisition secures AAFS’s top position in Bahrain, third in Kuwait, and expands its customer base in India—while maintaining its leading role in the UAE.

Digital Capabilities: BFC’s fintech expertise complements AAFS’s technology-driven growth strategy.

Operational Synergies: The merger is set to generate economies of scale, improve cost-efficiency, and enhance revenue growth.

Financial Impact

The transaction is immediately earnings-accretive. Based on 2024 data, the Group projects:

A 20% rise in operating income.

A 13% increase in EBITDA.

A 13% growth in net profit after tax.

Strengthened cash flows, improving dividend distribution potential.

Leadership Commentary

Rashed A. Al Ansari, Group CEO of Al Ansari Financial Services, stated:

“Today’s acquisition marks a pivotal step in our journey. It demonstrates our commitment to regional expansion, innovation, and financial strength. We are confident that this move will deliver long-term value to our shareholders and reinforce our promise of consistent returns.”

Looking Ahead

With its expanded market presence and enhanced capabilities, AAFS is poised to accelerate its growth trajectory. The Group will continue focusing on operational efficiency, digital transformation, and unlocking new revenue streams. The acquisition is expected to pave the way for new strategic partnerships, innovative product offerings, and deeper market penetration across key remittance corridors.