Foreign investor may acquire minority stake in bKash

A foreign investor may acquire a minority shareholding in bKash, Bangladesh's largest mobile financial service provider. Brac Bank that owns 51 percent of bKash announced it through a posting on the website of Dhaka Stock Exchange yesterday.

The bank said its subsidiary bKash has entered into a non-binding 'summary of terms' under which a strategic investor may acquire a minority shareholding in bKash.

The proposed acquisition, however, remains subject to satisfactory due diligence, negotiation, completion of a definitive share acquisition agreement and compliance with all applicable regulatory requirements, according to the announcement.

The Daily Star contacted bKash officials, but they declined to make comments on the issue. However, an official on condition of anonymity said the proposed buyer is a foreign company and it contributes to bKash's technological advancement.

bKash started its operation as a joint venture between Brac Bank and Money in Motion LLC, USA.

International Finance Corporation, a member of the World Bank Group, became an equity partner of the company in April 2013, while Bill & Melinda Gates Foundation chose to be an investor in April 2014.