Al Ansari Financial Services (AAFS), a leading financial services group in the UAE and the parent of Al Ansari Exchange, has completed its $200 million acquisition of Bahrain’s BFC Group Holdings (BFC).
The deal, which follows regulatory approvals, positions AAFS as the largest non-banking financial institution (NBFI) in the GCC by branch network.
The acquisition expands AAFS’s footprint into Bahrain, Kuwait, and India, increasing its customer base by 29 per cent and branch network by 60pc, the company said in a statement. AAFS expects the integration of BFC to enhance its operational scale and geographical diversification, creating value for shareholders, customers, and employees.
AAFS, which has focused on digital innovation, said it aims to replicate its digital model across BFC Group entities.
The company underscored several key advantages stemming from the acquisition, notably the establishment of AAFS as the largest non-banking financial institution within the GCC, thereby bolstering its dominance in the remittances and foreign exchange sectors.
Furthermore, the transaction significantly broadens AAFS’s regional footprint, securing the leading market position in Bahrain, the third position in Kuwait, and providing access to an expanded customer base in India, complementing its existing strong presence in the UAE market.
The integration is also expected to enhance AAFS’s digital capabilities through the incorporation of BFC’s fintech expertise and digital solutions. Finally, AAFS anticipates the realization of cost efficiencies and enhanced profitability and revenue growth through operational synergies arising from the consolidation.
AAFS said the acquisition is immediately accretive to earnings, with double-digit EBITDA growth expected. Based on 2024 data and subject to adjustments, the consolidated financial impact is projected to include a 20pc increase in operating income, a 13pc growth in EBITDA and net profit after tax, and stronger cash flow generation.
Rashed Al Ansari, group chief executive of Al Ansari Financial Services, said the acquisition “represents a pivotal step” for the company, underscoring its commitment to regional growth and innovation. He added that the anticipated boost in cash flow would support strong returns for investors.
AAFS said it is focused on driving sustainable growth, optimising efficiencies, and accelerating digital transformation, with the BFC acquisition expected to unlock further opportunities for partnerships and product innovation.
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