RHB aiming for regional expansion

0

KUCHING: With vast experience derived from weathering several crises coupled with a sound balance sheet as well as a strong base at home, RHB Capital Bhd (RHB) is betting on the growth of the Association of the Southeast Asian Nation (Asean) markets for it to emerge as a regional champion this year.

The group is set to further increase its economic integration within the region as well as in Hong Kong and China, as the 2015 date for Asean integration draws nearer.

“One of the biggest on-going exercises that we are involved in is the integration process with Indonesia’s PT Bank Mestika Dharma (Bank Mestika) which is expected to take place in June this year. We hope to tie things up as soon as possible,” RHB Bank managing director Johari Abdul Muid told The Borneo Post in an exclusive interview.

He pointed out that RHB had met the Indonesian authorities on the proposed 40 per cent stake in Bank Mestika. The revision from the initial 80 per cent stake was based on Indonesian laws that a foreign investor could only buy up to 40 per cent stake in its banking entity.

Questioned on the updates to the merger exercise announced end 2012 between OSK Holdings Bhd’s (OSK) investment banking arm with RHB which was slated for completion by end March 2013, Muid said that all was going according to plan.

He elaborated an announcement would be made to the public soon regarding the commencement of the new operations. RHB had fixed April 13 to be the ‘legal day one’ of the new operations.

“So far, in terms of investment banking, the deal is on track. In addition, OSK’s investment bank operations in Labuan and Cambodia will also be absorbed by RHB completing the exercise,” he added.

RHB is currently eyeing more business opportunities in Indonesia and Labuan and has added the two to its expansion list this year, apart from its current footprints in Singapore, Thailand and Brunei.

On top of that, the managing director pointed out that the group was also currently in the process of applying for a licence to setup a representative office in Myanmar, adding to its existing list of representative offices in Shanghai, China and Vietnam.