EPF ceases to be substantial shareholder of Affin Bank

EPF ceases to be substantial shareholder of Affin Bank

KUALA LUMPUR (April 17): The Employees Provident Fund (EPF) has ceased to be a substantial shareholder of Affin Bank Bhd after disposing of three million shares in the banking group.

The EPF’s disposal of Affin Bank’s shares took place on April 12, according to a bourse filing on Wednesday. The filing did not specify the value of the transaction. Nevertheless, Affin Bank closed at RM2.54 on April 12.

According to Affin Bank’s total share capital of 2.346 billion as per its annual report for the financial year ended Dec 31, 2023 (FY2023), the recent transaction reduced the EPF’s stake in the bank to 119.76 million shares, equivalent to a 5.07% stake.

It’s worth noting that EPF has been reducing its stake in Affin Bank from January to end-February, selling a total of 16.46 million shares during the period.

There is significant interest surrounding the bank, as the Sarawak government is reportedly in discussions to increase its stake in Affin Bank through its investment arm, which could see it potentially raising its stake to 30% from the current 4.8%.

Currently, the Armed Forces Fund Board (LTAT) is the largest shareholder of Affin Bank, holding a 28.79% stake, while its wholly owned unit Boustead Holdings Bhd holds an additional 20.02%.

Affin Bank, the second smallest of eight banking groups by assets in the country, has seen its stock gain about 18.27% year-to-date. Its shares remained unchanged at RM2.46 on Wednesday, giving it a market capitalisation of RM5.77 billion.

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