Posted inBusiness moves

Singapore wealth platform buys UK digital bank

The acquisition will allow the group to obtain a banking licence in Britain.
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Singapore-based iFast Corporation has signed an agreement with its partner Eagles Peak Holding to acquire BFC Bank from Bahrain’s BFC Group.

The deal will see iFast purchase an 85% stake in the UK digital bank for £25m ($33m) – £22.6m to fund the acquisition and £2.4m to offset relevant transaction costs.

The Singapore wealth platform also intends to inject an additional £15m of capital into the UK bank post-acquisition

BFC Bank is authorised by the Prudential Regulation Authority (PRA) and Financial Conduct Authority (FCA) in Britain.

Banking licence

Lim Chung Chun, chairman and chief executive of iFast Corporation, said: “Wealth management platforms with seamless links to good digital banking services that allow consumers and investors to manage payment flows seamlessly across borders while getting attractive deposit rates in various currencies, will have strong advantages.

“A full licensed UK bank will fit these requirements very well, given London’s status as a top financial centre with strong connectivity to the world, and given the forward-looking regulatory frameworks.

“The proposed acquisition in the UK bank will allow the group to acquire a banking licence in the UK, a reputable jurisdiction and a global financial centre.”

Part of the Mark Allen Group.