Rumored ADIB Interest in Indonesia’s Biggest Shariah Bank BSI

Abu Dhabi Islamic Bank (ADIB), the largest Islamic bank in Abu Dhabi, is reportedly in discussions to acquire a minority stake worth approximately US$1.1 billion in Bank Syariah Indonesia (BSI), the country's leading Islamic lender, according to Reuters, citing multiple sources familiar with the matter.

The potential deal involves ADIB's interest in purchasing a 15 percent stake in BSI from Bank Rakyat Indonesia (BRI). The sources revealed that while discussions are still in the early stages, there is no assurance that an agreement will be reached.

Gunawan Hartoyo, the corporate secretary of state-owned BSI, refrained from providing information regarding the matter. "The information provided falls within the purview of our shareholders," he remarked in response to Reuters queries.

Soon after the news broke, ADIB released a statement denying the report. "In response to recent speculations in the media suggesting Abu Dhabi Islamic Bank PJSC (ADIB) has an interest in acquiring an Indonesian financial institution [Bank Syariah Indonesia], ADIB strongly denies such reports of being in any negotiations to acquire a stake in such entity," ADIB said, as quoted by Gulf Business.