Pakistan, March 11 -- The State Bank of Pakistan (SBP) has approved the merger of Silk Bank Limited into United Bank Limited (UBL). This amalgamation will take effect on March 11, 2025. Both banks shared the news through separate notices to the Pakistan Stock Exchange on Tuesday.

According to UBL's notice, the merger is sanctioned under Section 48 of the Banking Companies Ordinance 1962. Silk Bank will cease to exist as an independent entity and will now fully integrate with UBL. The approval was granted following the necessary terms set out in the SBP's Sanction Order.

As part of the approved merger, UBL will issue new shares to Silk Bank's shareholders. Specifically, the swap ratio will be one UBL share for every 25 Silk Bank shares. ...