BNP Paribas, a major global bank, has increased its stake in Geojit Financial Services to 34.33 per cent from its initial stake of 27.18 per cent in March 2007.
This development will further strengthen Geojit's presence in the Gulf through new strategic business associations.
Sheikh Sultan bin Saud Al Qassimi, Chairman of Barjeel Geojit Securities, said: "The acquisition of the new stake by the global banking major BNP Paribas in our partner Geojit will help us to strengthen our business processes, risk management tools and best practices."
At the meeting of the Committee of the Board of Directors of Geojit Financial Services held on January 23, 13.09 million shares were allotted to BNP Paribas consequent to the exercise of warrants issued to the bank in March 2007 when the bank had initially taken a 27.18 per cent stake in Geojit Financial Services.
The tender period of the mandatory open offer closed on January 10, pursuant to which BNP Paribas has conveyed its acceptance for 5.973 million shares.
Consequent to the initial allotment of 56.8 million shares, acquisition of shares in the open offer and conversion of warrants, BNP Paribas' stake in Geojit Financial Services has gone up to 34.33 per cent.
Geojit had first established its presence in the Gulf in 2001.
Geojit has a joint venture in the retail financial services sector in the UAE named Barjeel Geojit Securities, which has a large non-resident Indian clientele.
Follow Emirates 24|7 on Google News.