Malaysian universal bank CIMB Group has wrapped the acquisition of KAF Equities through CIMB Investment Bank.
Following the completion of the transaction, KAF Equities has been rebranded as CIMB Securities.
According to CIMB Group, the acquisition is part of the bank’s plan to extend its in-house capabilities that would enhance the group’s wholesale banking business in Malaysia.
The new entity will offer a complete portfolio of equities services. It will also complement other products within the group wholesale banking franchise from financing, cash management, treasury and markets and investment banking advisory.
Besides, CIMB Securities will bring together a highly experienced and in-depth local research and sales team with regional and global partnerships to deliver global content and value propositions to customers.
The offerings are expected to be delivered to institutional and corporate clients with immediate effect.
CIMB Securities will be led by Ruzi Rani Ajith as the CEO, reporting to CIMB Group wholesale banking co-chief executive officer Novan Amirudin.
CIMB Group CEO Dato’ Abdul Rahman Ahmad said: “We are pleased to integrate stockbroking into our Wholesale Banking offerings in Malaysia as we complete our end-to-end value proposition for our clients.
“We will be adopting a phased approach in our roll-out, starting with wholesale clients and expanding our offerings in the future. We will invest in effective technologies that complement our vision for CIMB Securities to be the brokerage of the future, as we solidify our position to be the trusted partner in the Malaysian capital market.”
The acquisition comes after CIMB’s completion of the divestment of the residual stake in its stockbroking joint venture with CGS International in December 2023.
The partnership with CGS in the retail and wealth business remains in place to help a continuing and frictionless service for individual clients.