Eisa to replace Algosaibi as Samba head

Samba Financial Group, the second-largest bank in Saudi Arabia by market value, appointed Eisa Al Eisa as Chairman, replacing Saud bin Abdulaziz Algosaibi.

Al Eisa took the post on January 1 and will remain chairman for three years, the Riyadh-based bank said yesterday in a statement on the Saudi bourse website. The company also named Sajjad Razvi as Managing Director.

The bank made the appointment amid a continuing legal dispute over debt between Algosaibi and Maan Al Sanea, the founder of Saad Group.

Samba said on September 13 that Algosaibi was no longer chairman or a board member, without giving a reason for his departure. Al Sanea cut his holding in Samba by at least 2.8 per cent in September, dropping off the list of shareholders that own at least five per cent of the bank, according to the Saudi bourse website.

Al Sanea previously owned 7.8 per cent of the company.

Samba restricted lending in the Arab World's largest economy in the first nine months of last year amid the dispute between the Algosaibi and Al Sanea families.

The Algosaibi family has accused Al Sanea of siphoning off funds for personal use, a charge which he denies.

Samba Financial Group announced in October that it posted third-quarter profit that beat analyst estimates as customer deposits increased.

Net income advanced to SR1.21bn from SR1.20bn in the year-earlier period. That exceeded the SR1.06bn average estimate of four analysts.

Saudi Arabia's Central Bank Governor Mohammed Al Jasser said earlier this week that banks have not settled the debts of the troubled conglomerate Saad Group.

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