Saturday, November 14, 2009

Malaysian Achor Banks of 1999

In 1999, emerging from the Asian Financial Crisis and other financial issues, and in line with the Government’s plan to consolidate the banking and finance industry, the Government announced the following 10 anchor banks:
1. Malayan Banking
2. Bumiputra-Commerce Bank
3. Public Bank
4. RHB Bank
5. Arab-Malaysian Bank
6. EON Bank
7. Multi-Purpose Bank
8. Hong Leong Bank
9. Affin Bank
10. Southern Bank

Maybank
Malayan Banking, or Maybank, is the largest financial services group in Malaysia boasting group assets worth RM301 billion (USD$87 billion), placing it among the top 120 banks worldwide. It has the largest network of branches with over 374 branches and owns the largest ATM network in Malaysia with over 900 ATMs. Todate, Maybank has more than 4 million deposit accounts and more than half a million loan accounts.
In August 2000, Maybank announced the merger of the commercial banking business under Phileo Allied Bank and the securities business under Phileo Securities with that of Maybank and Mayban Securities respectively.
On 1 January 2001, Maybank also announced the merger of The Pacific Bank with Maybank.
Malayan Banking was formed by Malaysian business tycoon Khoo Teck Puat with a few partners in Kuala Lumpur. It was incorporated on 31 May 1960 and commenced operations on 12 September 1960. The bank grew rapidly to more than 150 branches within 3 years, but in 1965, Khoo Teck Puat was ousted from Maybank by the Government of Malaysia under the then Deputy Prime Minister Tun Abdul Razak's administration on the pretext of pumping the bank's money into his own private firm in Singapore. The bank formed its own investment banking subsidiary, Aseambankers Malaysia Berhad (Asian & Euro-American Merchant Banking (Malaysia) Berhad) in 1973. In 1993, the bank acquired a local insurance company, Safety Life & General insurance Sdn Bhd, and relaunched it as Mayban Life Assurance to focus solely in bankassurance. In 2005, the insurance arm acquired MNI Insurance and Takaful Nasional, and subsequently rebranded its insurance companies to Eitqa in 2008.
The Pacific Bank was established in 1919 and was listed on the KLSE in August 1990 …
PhileoAllied Bank ….

CIMB Bank
CIMB Bank, the consumer banking are of CIMB Group, was rebranded to its current name in 2006 to reflect its group restructuring and the completion of the merger between Bumiputra-Commerce Bank and Southern Bank Berhad.
Bumiputra-Commerce Bank (BCB) was formed in October 1999 through the merger of Bank of Commerce (BoC) and Bumiputra Bank Malaysia Berhad (BBMB) resulting in the biggest merger in Malaysia's banking history.
Bank Bumiputra was established in 1965 in line with government initiatives to increase the Bumiputra participation in the national economy. By the 1980s, it had become the largest bank in the country in terms of assets and was the first domestic bank to have operations in New York, London, Tokyo, Bahrain and Hong Kong. In 1982, it was listed as the largest bank in Southeast Asia by Asian Finance magazine.
The history of Bank of Commerce goes back to November 1979 when Bian Chiang Bank was renamed Bank of Commerce on the acquisition by the UMNO-owned Fleet Group and co-shareholder JP Morgan. Bian Chiang Bank was established in 194 in Kuching by Wee Kheng Chiang, focusing mainly in business financing and the issuance of bills of exchange.
In November 1991, the acquisition of United Asian Bank (UAB) by Bank of Commerce was the starting point for the significant expansion of this nascent force in banking. With the acquisition, the Bank of Commerce branch network increased almost fourfold, complementing its established reputation in the corporate lending market.
United Asian Bank (UAB) was established in Kuala Lumpur in 1972 as a result of the merger of three Indian-owned banks; Indian Overseas Bank Ltd, Indian Bank Ltd and United Commercial Bank Ltd. UAB started as a joint-venture in banking between Malaysia and India, taking over the operations of the Malaysian branches of the Indian banks in 1972.
Southern Bank was founded as Southern Banking Limited in 1965 by the late Tan Sri Saw Seng Kew in Penang and quickly expanded to other parts of the country. In 1978, the bank set up operations in Kuala Lumpur and became recognised as an important player in wealth management products, credit cards and SME lending. The bank was the first in the country to set up the MEPS / ATM system used throughout Malaysia today. Southern Bank was one of the anchor banks announced in 1999, in which Southern Bank acquired Ban Hin Lee Bank. Ban Hin Lee Bank (BHLB) was also established in Penang. Formed in 1935 by “Towkay” Yeap Chor Ee, it originally focused on serving local businessmen in their trading and merchant activities. In the 1960's, it branched into real estate and house financing eventually reaching throughout Malaysia and Singapore from its headquarters in Penang, though it mainly served the Penang region.

RHB Bank
RHB Bank was formed in 1997 as a result of the merger between DCB Bank and Kwong Yik Bank. In line with the government’s plan to consolidate the banking industry, the merger between Sime Bank and RHB Bank was finalized in 1999 to form the RHB Banking Group, resulting in the third largest banking group in Malaysia. In 2003, the RHB Banking Group completed its merger with Bank Utama, offering its customers a wider network of 200 branches nationwide, 470 ATMs and new products and services, such as internet banking.

DCB Bank was established in 1966 as Development and Commercial Bank (D&C Bank) by the late Tun Sir H. S. Lee, a well known entrepreneur and the first Minister of Finance for the country. D&C Bank became the 5th largest Malaysian bank by the late 80’s. In 1990, a majority shareholding of the bank was sold to Abdul Rashid Hussain, the owner of the then largest stock brokerage firm, Rashid Hussain Bhd which was founded in 1982.

Kwong Yik Bank was established in 1913 with a start-up capital of RM300,000 at the Old Market Square in Kuala Lumpur, making it Malaya’s first local bank . In 1996, Abdul Rashid Hussain acquired a 75% stake in Kwong Yik Bank at RM2.3bil and its merger with DCB Bank in 1997 formed the RHB Bank, making it the country’s biggest ever banking merger at that time. 1999, he bought the troubled Sime Bank for RM852.2mil.

Sime Bank was initially set up in 1959 as the United Malayan Banking Corporation (UMBC) by a group of businessmen, led by Mr Chang Ming Thien, a prominent figure in the rubber industry in Malaya and Singapore. The bank was officially declared open by the then Prime Minister, Tunku Abdul Rahman in 1960 as the first commercial bank to be established in independent Malaya. In 1996, UMBC became part of the Sime Darby Group and was renamed Sime Bank Berhad.
Bank Utama (Malaysia) Berhad was first incorporated in 1976 in Sarawak as the first bumiputra-owned bank.

Public Bank
Public Bank merged with Hock Hua Bank in 1999 as part of the government’s merger programme for domestic banking institutions. With this merger, Public Bank saw an increase in its domestic branch network to 381 branches in Malaysia from 345 branches, comprising 213 commercial bank branches and 168 finance company branches.
Public Bank was founded in 1966 by Tan Sri Teh Hong Piow, who began his banking career in 1950 as a bank clerk in Overseas-Chinese Banking Corporation Ltd. and rose in rank to officer within five years. He joined Malayan Banking Berhad as Manager in 1960, and later in 1964, was promoted to the position of General Manager at the age of 34. He left Malayan Banking in 1966 to set up Public Bank. Public Bank is the largest domestic bank in Malaysia by market capitalisation and the third largest by balance sheet. The Public Bank Group employs close to 16,000 people in 2009 – with about 90% of the staff in Malaysia and the remaining spread across Hong Kong and the People’s Republic of China, Cambodia, Vietnam, Laos and Sri Lanka.
Hock Hua Bank was founded in 1952 and became Sarawak’s regional bank. With an established customer base in the state of Sarawak especially in the retail consumer and commercial sectors, Hock Hua Bank complemented and enhanced Public Bank’s similar focus and specialization in the retail and commercial segment.

AmBank
Arab-Malaysian Bank Berhad commenced operations on 1 August 1994, when the AMMB Group acquired the Malaysian operations of Security Pacific Asian Bank Limited from Bank of America (Asia) Limited. On 1 June 2005, the merger of AmBank and AmFinance took place to create AmBank (M) Berhad, the sixth largest domestic bank in the country. On 18 May 2007, AmBank Group commemorated the entry of Australia and New Zealand Banking Group Limited (ANZ Bank) as its strategic partner and major investor.
The AMMB Group began its finance business in 1977, when the Group acquired a 70.0% shareholding in Malaysian Industrial Finance Company Limited (“MIFCL”), which was later renamed Arab-Malaysian Finance Berhad (“AMFB”). In 1990, AMFB acquired First Malaysia Finance Berhad. In line with the Government’s plan to consolidate the industry, AMFB acquired Abrar Finance Berhad in 1998, and MBf Finance Berhad in 2001.
The AMMB Group traces its roots to Arab-Malaysian Development Bank Berhad which was incorporated on 5 August 1975 as a joint venture between Malaysian Industrial Development Finance Berhad, with a 55.0% shareholding, Arab Investments for Asia (Kuwait) with a 33.0% shareholding, and the National Commercial Bank (Saudi Arabia) holding 12.0%.
Mbf Finance was a major finance institution in the country which was built up by the late Loy Hean Heong from the time he purchased Malaysia Borneo Finance Corp. in 1974.

Hong Leong Bank
Hong Leong Bank merged with Wah Tat Bank Berhad and Credit Corporation (Malaysia) Berhad in 2000 as part of the government’s directive for the domestic banking institutions consolidation programme. In 2004, the finance business of Hong Leong Finance Berhad was acquired by Hong Leong Bank. Hong Leong Finance was operating in Malaysia since 1968.
Hong Leong Bank started its humble beginnings in 1905 in Kuching, Sarawak, Malaysia under the name of Kwong Lee Mortgage & Remittance Company and later in 1934, incorporated as Kwong Lee Bank Limited. On 2 February 1983, it changed its name to Malayan United Bank Berhad after the acquisition by Khoo Kay Peng of Malayan Industries Bhd, a former OCBC banker. On 26 June 1989, it changed name to MUI Bank Berhad, operating in 35 branches. In January 1994, the Hong Leong Group acquired MUI Bank and assumed its present name. In that the same year in October, Hong Leong Bank was listed on the Kuala Lumpur Stock Exchange.
Wah Tat Bank started business as Wah Tat Money Exchange and Remittances in Sibu, Sarawak during the Rajah Brooke’s reign in 1929.

EON Bank
EON Bank as of 2008 has a branch network of 136 branches and over 5,000 employees serving a customer base of more than 1,000,000. Its total assets stood at RM41,563 billion as at 30 June 2008.
Kong Ming Bank was founded by the late Datuk Sri Ling Beng Sung in Sarawak in 1965, serving mostly the Sarawak region. In 1991, the bank was acquired by the Edaran Otomobil Nasional (EON) and assumed its present name. EON was established to distribute Malaysia's first national car, Proton. In 2006?, Hong Kong-based principal investment company Primus Pacific Partners, acquired a 20% stake in EON Capital Bhd to enable it to exploit the opportunities in the Malaysian financial sector.
Oriental Bank was founded in 1937…

Affin Bank
Affin Bank commenced operations using its current name in January 2001 following a merger between the former Perwira Affin Bank Berhad and BSN Commercial (M) Berhad in August 2000. In June 2005, pursuant to the amendment to the BAFIA 1989, it again merged with the former Affin-ACF Finance Berhad. To date, Affin Bank has a network of 82 branches nationwide.
Affin Bank was established incorporated in 1975 under the name Perwira Habib Bank Malaysia Berhad. It started as a joint venture between several Malaysian parties including LTAT, Syarikat Permodalan Kebangsaan Berhad, and Habib Bank Limited of Pakistan. In 1991, the Bank embarked on a capital restructuring resulting in the emergence of Affin Holdings Berhad as its largest shareholder in 1992. It later changed its name to Perwira Affin Bank Berhad.
BSN Commercial Bank was incorporated in Malaysia on 16 July 1975 under the name of Bank Buruh (Malaysia) Berhad. It changed its name to BSN Commercial Bank after it was acquired by Bank Simpanan Nasional (BSN) from bankrupt Central Co-operative Bank (CCB) on 11 March 1995.

Alliance Bank
Alliance Financial Group (formerly known as Alliance Banking Group) was founded in early 2001 through a consolidation of 7 financial institutions, in which Multi Purpose Bank Berhad anchored the merger. Besides Multi-Purpose Bank Bhd, the other institutions were International Bank Malaysia Bhd, Bolton Finance Bhd, Bumiputra Merchant Bankers Bhd, Sabah Bank Bhd, Sabah Finance Bhd and Amanah Merchant Bank Bhd.
Multi Purpose Bank first commenced operations in 1958 as Banque de L'indochine, and later changed its name to Banque Indosuez in 1975. In 1982, Banque Indosuez was incorporated into the Malaysian French Bank Berhad. With the corporate restructuring resulting in a majority stake in the bank by Multi-Purpose Capital Holdings Berhad, it was renamed as Multi-Purpose Bank in 1996.
Sabah Bank was incorporated by the State Government of Sabah on 9 August 1977 under the name of Bank Pembangunan Sabah Berhad, as a public limited company under the Companies Act, 1965.

==

Banking Groups announced by Bank Negara

1.Malayan Banking Bhd (MayBank) :
Mayban Finance Bhd, Aseambankers Malaysia Bhd, PhileoAllied Bank Bhd, Pacific Bank Bhd, Sime Finance Bhd and Kewangan Bersatu Bhd

2. The Bumiputra – Commerce Bank Bhd
Bumiputra-Commerce Finance Bhd and Commerce International Merchant Bankers Bhd

3. RHB Bank Bhd
RHB Sakura Merchant Bankers Bhd, Delta Finance Bhd and Interfinance Bhd

4. Public Bank
Public Bank Bhd, Public Finance Bhd, Hock Hua Bank Bhd, Advance Finance Bhd and Sime Merchant Bankers Bhd

5. The Arab Malaysian Bank Bhd (AMMB)
Arab Malaysian Finance Bhd, Arab Malaysian Merchant Bank Bhd, Bank Utama Malaysia Bhd and Utama Merchant Bankers Bhd

6. Hong Leong Bank Bhd
Hong Leong Finance Bhd, Wah Tat Bank Bhd and Credit Corporation Malaysia Bhd

7. Perwira Affin Bank Bhd
Affin Finance Bhd, Perwira Affin Merchant Bankers Bhd, BSN Commercial Bank Bhd, BSN Finance Bhd and BSN Merchant Bank Bhd

8. Multi-Purpose Bank Bhd
International Bank Malaysia Bhd, Sabah Bank Berhad, MBf Finance Bhd, Bolton Finance Bhd, Sabah Finance Bhd, Bumiputra Merchant Bankers Bhd and Amanah Merchant Bank Bhd

9. EON Bank Bhd
EON Finance Bhd, Oriental Bank Bhd, City Finance Bhd, Perkasa Finance Bhd and Malaysian International Merchant Bankers Bhd

10. Southern Bank Bhd
Ban Hin Lee Bank Bhd, Cempaka Finance Bhd, United Merchant Finance Bhd, Perdana Finance Bhd and Perdana Merchant Bankers Bhd

Source: Bank Negara Malaysia


Reference
http://www.maybank2u.com.my/corporate/achievement.shtml
http://www.maybank2u.com.my/corporate/notice3.shtml
http://www.maybank2u.com.my/corporate/press_release/archives/aug30_2.shtml
http://www.cimb.com/index.php?ch=group_ch_acg&pg=group_pg_acg_oh&ac=609&tpt=cimb_group
http://www.rhb.com.my/corporate_profile/history.shtm
http://www.ambg.com.my/ambank_webmedia/file/Our%20History.pdf
http://www.hlb.com.my/ahlb/inv_his.jsp?flag=inv_his
http://www.alliancebank.com.my/ourhistory.html

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