It's still less than %0.5! Limited market share development of ABC-Egypt after merger with Blom Bank

Many banks operating in the Egyptian banking market have sought in the last decade to merge with other entities as their market shares have diminished and eroded, as well as their role has narrowed significantly compared to the rest of the banks operating in the sector.

One of the recent merger experiences was the merger experience of Arab Banking Corporation (Merging Bank) and Blom - Egypt (Merged Bank)

The two banks were merged into a single legal entity after completing all the relevant regulatory approvals, including the approval of the Central Bank of Egypt, the General Authority for Investment and Free Zones. This step came after ABC acquired a 99.5% share in Blom Bank Egypt in August 2021, and was recorded in the bank's commercial registry on January 1, 2023, according to financial statements as of December 31, 2022.

The legal merger between the two banks increased Bank ABC-Egypt's market share and brought together the best services offered by the two banks to provide a wider and better range of banking services to all Unified Bank customers, supported by a larger network of branches and ATMs.

By monitoring market shares during the first 9M of last year, the Bank's market share in the asset market rose to 0.48% of the total assets of the banking sector by the end of Q3 of 2023, compared to 0.14% at the end of 2022.

The Bank's market share in the deposit market rose to 0.62% of total banking sector deposits by the end of Q3 of 2023, compared to 0.16% by the end of 2022.

The bank's market share in the loan market rose to 0.44% of total banking sector loans by the end of Q3 of last year, compared to 0.13% by the end of 2022.

Bank ABC-Egypt's market share in the stock market rose to 0.38% of total financial investments (securities) of Egyptian banks by the end of September 2023, compared to 0.10% by the end of December 2022.

Based on previous data that showed that the merger experience almost tripled the Bank’s shares while its market share is still small, and it has not exceeded 1% in any market; The Bank is required to make further efforts to achieve strong increases in its market shares and key portfolios.