Dubai, UAE – Al Ansari Financial Services (AAFS), a leading financial services provider based in Dubai, has announced its agreement to acquire Bahrain’s BFC Group Holdings (BFCGH) for $200 million (AED 735 million). This strategic acquisition, set to be completed by the first quarter of 2025 pending regulatory approvals, will significantly expand AAFS’s branch network and market presence across the GCC and India.
BFC Group Expansion and Growth
The acquisition will increase AAFS’s branch network by 60%, bringing the total number of branches to over 410 across the UAE, Bahrain, Kuwait, and India. The combined entity will become the largest remittance and exchange provider in the GCC region by branch count. Additionally, the merger will boost the workforce to nearly 6,000 employees, a 25% increase over AAFS’s current staff.
For fiscal year 2023, the consolidated revenues of AAFS and BFCGH amounted to approximately $385 million (AED 1.4 billion). This figure represents a 22% increase over AAFS’s reported revenue for the same year.
Strategic Significance
Rashed Ali Al Ansari, Group CEO of AAFS, emphasized the strategic importance of the acquisition, stating, “This strategic acquisition represents a pivotal moment in our growth trajectory, establishing our company as the leading foreign exchange and remittance service provider in the Gulf region. By broadening our customer base and extending our services across the GCC and India, we aim to provide a wider audience with access to our comprehensive solutions. This move aligns with our broader strategy of diversification and expansion into new markets.”
Synergies and Future Outlook
The merger will leverage operating and cost synergies to enhance efficiency and service delivery. AAFS plans to secure market financing for the acquisition, further strengthening its position in the region.
Ebrahim Nonoo, Managing Director and CEO of BFCGH, expressed enthusiasm about the acquisition: “We are excited to announce the acquisition of our company by Al Ansari Financial Services. This strategic move highlights the value and potential of our organization and opens new opportunities for growth and innovation. We are confident that Al Ansari Financial Services will continue to drive our mission forward, ensuring the best possible outcomes for our clients and stakeholders.