BIMB’s Restructuring to Allow Proper Re-Rating, Stronger Financial Position of Bank Islam: Maybank IB Research

The restructuring of BIMB Holdings (BIMB) may enable a proper re-rating of Bank Islam Malaysia (Bank Islam), in addition to boosting the financial position of the bank, according to a recent research note by Maybank Investment Bank Research (Maybank IB Research).

Why it Matters?

The main positive of the ongoing BIMB restructuring exercise is that it would allow for a proper re-rating of Bank Islam, which Maybank IB Research maintains is currently undervalued. Upon completion of the restructuring, Bank Islam will assume the listing status of BIMB. According to analysts, the restructuring will also strengthen Bank Islam’s financial metrics, and place it in a better position to compete in the Islamic banking space, given that it will become the onl...