MCB Bank

Pakistani commercial bank

MCB Bank

Headquarters of MCB Bank in Lahore

Company type| Public

Traded as

| PSX: MCB
KSE 100 component
KSE 30 component
Industry| Banking
Founded| July 9, 1947; 77 years ago (1947-07-09)
Founder| Adamjee Haji Dawood
Headquarters|

Lahore-54660

Pakistan

Key people

* Mian Muhammad Mansha (Chairman)
* Muhammad Nauman Chughtai (CEO)

Products| Loans, credit cards, Debit cards, savings, consumer banking, Home Remittance etc.
Revenue| Rs. 180.61 billion (US$630 million)[1] (2023)

Operating income

|  Rs. 125.24 billion (US$430 million)[1] (2023)

Net income

|  Rs. 59.63 billion (US$210 million)[1] (2023)
Total assets|  Rs. 2.42 trillion (US$8.4 billion)[1] (2023)
Total equity| Rs. 206.61 billion (US$720 million)[1] (2023)
Owner| Maybank (18.78%)
Nishat Mills (8.02%)
Adamjee Insurance (5%)
Security General Insurance (5%)

Number of employees

| 14,420[1] (2023)
Parent| Maybank
Nishat Group
Subsidiaries| MCB Islamic Bank
MCB Non-Bank Credit Organization Closed Joint Stock Company
MCB Investment Management Limited (81.42%)
Website| mcb.com.pk

MCB Bank Limited is a Pakistani commercial bank which is based in Lahore, Punjab. It is majority owned by a group of companies affiliated with Nishat Group and Malaysian bank Maybank.

MCB Bank is listed on the Pakistan Stock Exchange and the London Stock Exchange.

## History

[edit]

MCB Bank was incorporated as Muslim Commercial Bank in July 1947, shortly before the Partition of India, under the encouragement of Muhammad Ali Jinnah.[2] The founders, Adamjee Haji Dawood and M. A. Ispahani, were joined by directors from major Muslim commercial and industrial families, including the Ispahani, Adamjee, Dada, Arag, and Amin Jute families.[2] Among the founding members was also Khwaja Shahabuddin, a former member of the first Muslim ministry in Bengal from 1937 to 1940.[2]

In 1964, MCB became part of Adamjee Group.[2]

MCB was nationalised in 1974 during the government of Zulfikar Ali Bhutto. Subsequently, its shares were de-listed from the Karachi Stock Exchange after acquisition by the government of Pakistan.[3]

On April 6, 1991, the government sold 26 percent of MCB's shares to the National Group at PKR 56 per share, totaling PKR 838.8 million.[4][5] The transaction was conducted under an "as is where is" arrangement, and it resulted in the Federal Government suspending most provisions of the Banks (Nationalization) Act, 1974 for six months, with the exception of section 5(6)(a).[5][6]

The privatization process continued on February 19, 1992, with the public offering of an additional 25 percent of MCB's shares.[5] Following the divestment of a 51 percent stake, MCB was no longer subject to the Banks (Nationalization) Act, 1974.[5] On December 31, 1992, the National Group acquired another 24 percent of MCB's shares at Rs56.15 per share, increasing their total holding to 50 percent.[5]

In 2005, the management of the bank abbreviated its name from Muslim Commercial Bank Limited to MCB Bank Limited to explore international markets; they were facing resistance due to the word Muslim especially from Western Countries to avail licence.[7]

In 2008, Maybank (Malaysia) announced the acquisition of 20% of the stake in MCB Bank Limited's equity by purchasing a little more than 94 million ordinary shares from the Nishat Group. This transaction amounted to MYR 2.17 billion (US$686 million) in value. The price paid by the Maybank was Pak. Rupees 470 per ordinary share of MCB.[8] In 2008, the head office of MCB was shifted from MCB Tower, Karachi to Lahore in a newly constructed building, namely MCB House located at Sharea Ghous-ul-Azam, commonly known as Jail Road.

In 2000, MCB established its Islamic Banking Business Group and opened its first branch in 2003.[9] By 2014 the Islamic Banking network had grown to 34 branches.[10] This was in addition to and separate from bank's 1,100 conventional banking branches.[10] In 2015, given the potential of Islamic Banking business, the bank proceeded to establish an independent but wholly owned subsidiary bank[11][12] named MCB Islamic Bank Limited, referred to as MIB in short.[13]

## MCB Tower

[edit]

MCB Tower, situated in Karachi, Pakistan is the former headquarters of MCB Bank Limited. The tower includes 29 floors and 3 basement floors.[14]

## MCB Islamic Bank

[edit]

Main article: MCB Islamic Bank

MCB Islamic Bank (MIB) is a subsidiary of MCB Bank. MIB was established as a demerger from MCB and NIB Bank.[15]

## MNET Services Amalgamation with and into MCB Bank

[edit]

MNET Services (Private) Limited amalgamated with and into MCB Bank, the effective date of amalgamation was April 30, 2019.[16]

## Subsidiaries

[edit]

* MCB Islamic Bank Limited[17]
* MCB Funds[18]
* MCB BOKT Non-Bank Credit Organisation [19]

## See also

[edit]

* Banks portal

* Economy of Pakistan
* List of banks in Pakistan

## References

[edit]

1. ^ a b c d e f "MCB Annual Report 2023" (PDF). MCB.com.pk. Retrieved 26 March 2024.
2. ^ a b c d Papanek, Hanna (1972). "Pakistan's Big Businessmen: Muslim Separatism, Entrepreneurship, and Partial Modernization". Economic Development and Cultural Change. 21 (1): 1–32\. doi:10.1086/450605. JSTOR 1152902.
3. ^ "De-listed companies" (PDF).
4. ^ SAJID, MUSHTAQ A.; CHAUDHARY, A. R. (1996). "Historical Development of Liberalization Since 1947 in Pakistan". Pakistan Economic and Social Review. 34 (2): 179–192\. JSTOR 25825145.
5. ^ a b c d e Husain, Ishrat. "Policy Considerations before Bank Privatization Country Experience" (PDF).
6. ^ "Ministry of Privatisation - Privatisation Commission". March 28, 2023. Archived from the original on 2023-03-28.
7. ^ "Annual Report 2005" (PDF). Mcb.com.pk. Retrieved 28 June 2019.
8. ^ "Maybank2u". Maybank2u.com.my. Retrieved 2019-06-28.
9. ^ "MCB to expand Islamic banking services". Business Recorder. 2005-03-03. Retrieved 2019-06-28.
10. ^ a b "Annual Report 2014" (PDF). Mcb.com.pk. Retrieved 28 June 2019.
11. ^ "MCB sets up Islamic banking subsidiary". Thenews.com.pk. 2015-09-15. Retrieved 2019-06-28.
12. ^ "MCB sets up Islamic banking subsidiary". Thenews.com.pk. 15 September 2015. Retrieved 28 June 2019.
13. ^ Mehdi, Ali Raza (October 5, 2015). "MCB Bank's foray into Islamic banking". Dawn.
14. ^ Reporter, The Newspaper's Staff (2012-02-21). "Pakistan's tallest building completed". DAWN.COM. Retrieved 2020-07-12.
15. ^ "MCB Bank demerges Islamic banking group against Rs7.946bln". www.thenews.com.pk.
16. ^ "MCB Bank winds up another Subsidiary". Research Snipers. 2019-11-09. Retrieved 2021-01-25.
17. ^ "MCB Bank Subsidiary Companies". Research Snipers. 2019-11-09. Retrieved 2021-01-25.
18. ^ "MCB Arif Habib Savings & Investments Limited". Research Snipers. 2019-11-09. Retrieved 2021-01-25.
19. ^ "MCB Non-Bank Credit Organisation" Closed Joint Stock Company"". Research Snipers. 2019-11-09. Retrieved 2021-01-25.

## External links

[edit]

* Dawn News
* Muslim Commercial Bank
* Dawn News

* v
* t
* e

Nishat Group

People|

* Mian Muhammad Mansha (chairman)

Subsidiaries|

* Hyundai Nishat Motors
* DG Cement
* MCB Bank
* MCB Funds
* MCB Islamic Bank
* Nishat Mills Limited
* Nishat Linen

Power stations|

* Nishat Power
* Nishat Chunian Power
* Lalpir Power
* Pakgen Power

Malls|

* Emporium Mall

Hotels|

* St James's Hotel and Club

Acquisitions|

* NIB Bank

Former|

* Nishat Chunian

* v
* t
* e

Banking in Pakistan

Central bank|

* State Bank of Pakistan

Big Four|

* Habib Bank
* MCB Bank
* National Bank
* United Bank

Commercial banking|

| Public sector|

* Bank of Azad Jammu and Kashmir
* Bank of Khyber
* Bank of Punjab
* First Women Bank
* Industrial Development Bank
* Karakoram Cooperative Bank
* Punjab Provincial Cooperative Bank
* Sindh Bank
* Zarai Taraqiati Bank Limited

|

Private sector|

* Allied Bank
* Askari Bank
* Bank AL Habib
* Bank Alfalah
* HabibMetro
* JS Bank
* Soneri Bank
* Standard Chartered Pakistan

Microfinance|

* HBL Microfinance Bank
* Khushhali Microfinance Bank

Islamic banking|

* BankIslami
* Bank Makramah
* Al Baraka Bank Pakistan
* Dubai Islamic Bank Pakistan
* Faysal Bank
* MCB Bank
* Meezan Bank
* Samba Bank

Digital|

* Easypaisa

House building|

* House Building Finance Company

Savings Bank|

* National Savings Organization

Foreign banks|

* Citibank Pakistan
* Deutsche Bank Pakistan
* ICBC Pakistan
* BOC Pakistan
* Bank of Tokyo Mitsubishi Pakistan

Defunct banks|

* BCCI
* Bank of Bahawalpur
* Burj Bank
* Federal Bank for Cooperatives
* NIB Bank
* PICIC Commercial Bank
* RBS Pakistan
* Silkbank
* Union Bank

See also|

* List of banks in Pakistan
* Pakistani bankers
* Institute of Bankers Pakistan
* KIBOR
* National Institute of Banking and Finance

Category

* v
* t
* e

KSE 100 companies of Pakistan

* Abbott
* Adamjee Insurance
* AGP Limited
* Air Link Communication
* Allied Bank
* Askari Bank
* Atlas Honda
* Attock Petroleum
* Attock Refinery
* Avanceon
* Bank AL Habib
* Bank Alfalah
* Bank of Punjab
* Bannu Woollen Mills
* Bestway Cement
* Cherat Cement
* Cnergyico
* Colgate-Palmolive Pakistan
* DG Cement
* Dolmen City
* EFU General Insurance
* Engro Holdings
* Engro Fertilizers
* Engro Polymer
* Fatima Fertilizer
* Fauji Cement
* Fauji Fertilizer Company
* Faysal Bank
* First Habib Modarba
* FrieslandCampina Engro Pakistan
* Ghani Glass
* GSK
* HBL
* HabibMetro
* HBL Growth Fund
* Highnoon
* Honda Atlas
* Hubco
* Ibrahim Fibre
* JDW Sugar Mills
* Indus Motor
* Interloop Limited
* International Industries Limited
* International Steels Limited
* Javedan
* K-Electric
* Kohat Cement
* Kohinoor Spinning Mills
* Kohinoor Textile
* Kot Addu Power
* Lotte Chemical
* Lucky Cement
* Lucky Core Industries
* Maple Leaf Cement
* Mari Energies
* MCB Bank
* Meezan Bank
* Mehmood Textile Mills
* Millat Tractors
* Mughal Steel
* Murree Brewery
* National Bank
* National Foods
* National Refinery
* Nestlé Pakistan
* Nishat Chunian Power
* Nishat Chunian
* Nishat Power
* OGDC
* Packages Limited
* PEL
* Pak-Gulf Leasing
* Pakgen Power
* Pakistan Aluminium Beverage Cans
* PIBTL
* Pakistan Oilfields
* Pakistan Petroleum
* Pakistan Refinery
* Pakistan Services
* Pakistan State Oil
* Pakistan Stock Exchange
* PTCL
* Pakistan Tobacco Company
* Pioneer Cement
* Punjab Oil Mills
* Rafhan Maize
* Sazgar
* Searle Pakistan
* Servis
* Wafi
* Standard Chartered
* SNGPL
* Systems Limited
* Tariq Glass
* Thal Limited
* TRG Pakistan
* Unilever Pakistan Foods
* UBL
* Unity Foods
* Yousuf Weaving Mills

As of October 2024

* v
* t
* e

KSE-30 companies of Pakistan   → KSE-100

* Attock Refinery
* Bank AL Habib
* Bank Alfalah
* DG Cement
* Engro Holdings
* Engro Fertilizers
* Fauji Fertilizer Company
* Fauji Cement
* Habib Bank Limited
* Hubco
* Lucky Cement
* Maple Leaf Cement
* Mari Energies
* MCB Bank
* Meezan Bank
* Millat Tractors
* National Refinery
* Oil & Gas Development Company
* Pakistan Oilfields Limited
* Pakistan Petroleum
* Pakistan Refinery Limited
* Pakistan State Oil
* Pioneer Cement
* Sazgar
* Searle Pakistan
* SNGPL
* Systems Limited
* United Bank Limited

As of September 2024
*[v]: View this template
*[t]: Discuss this template
*[e]: Edit this template