ISLAMABAD: The Summit Bank Tuesday informed the Pakistan Stock Exchange (PSX) that the bank's name had been changed to Bank Makramah Limited (BML).

"In this regard, a consent/NOC has already been received from the State Bank of Pakistan [SBP] on July 17, 2023," the bank informed the stock exchange.

The bank's notice to PSX further read that the change would become effective subject to other regulatory and corporate approvals.

"The name change will become effective upon procuring other relevant regulatory approvals arid obtaining the approval of the shareholders of the Bank in Extraordinary General Meeting, through special resolution, and the restatement of the Memorandum [and] Articles of Association of the Bank," the notification said.

A separate press release from the banks stated that the name change followed "the recent acquisition of a controlling stake in Summit Bank by prominent UAE investor, HE Nasser Abdulla Hussain Lootah".

The statement added that Lootah's vision for Bank Makramah Limited is to develop it into a "leading Islamic bank", providing exceptional financial services and innovative products in line with Islamic principles.

"The name change from Summit Bank Limited to Bank Makramah Limited (BML) signifies the bank's commitment to embracing Islamic finance principles and delivering innovative and ethical financial services to its valued customers," the presser said.

It further read that BML was "in the process of developing a comprehensive plan to transition into a full-fledged Islamic bank".

This, it said, would be done through a complete overhaul of its operations, introduction of Shariah-compliant financial solutions, and adherence to Islamic banking practices. 

The Dubai-based businessman first expressed interest in acquiring at least 51% stakes in Summit Bank in 2021, aiming to acquire the bank along with management control.

At the time, Lootah held 0.51%, or 13 million stakes, in the bank.

Following his interest, he officially acquired the bank earlier this year after the move was approved by the SBP, Securities and Exchange Commission of Pakistan, and the Competition Commission of Pakistan.