editorial
Dubai Islamic Bank (DIB), the largest participation bank in the United Arab Emirates, has made its entry into the Turkish digital banking and fintech sector by acquiring a minority stake in T.O.M. Group. The group, founded by Aydın Group shareholders, consists of T.O.M. Katılım Bankası A.Ş., T.O.M. Pay Elektronik Para ve Ödeme Hizmetleri A.Ş., and T.O.M. Finansman A.Ş.
As per the announcement, DIB, listed on the Dubai Financial Market, will acquire a 20% shareholding in T.O.M. Group, with an option to increase its ownership to 25% within the next 12 months. This strategic partnership between Aydın Group and DIB aims to position T.O.M. Group as a national leader in the digital banking and fintech sector, with aspirations to expand regionally.
The primary objective of the shareholders is to promote financial inclusion by providing simplified access to digital financial services in Turkey. Aydın Group, which operates one of the largest retail ecosystems in Turkey through its four flagship businesses, believes that customer acquisition is crucial for the success and valuation of digital banks.
This transaction has received approvals from the Banking Regulation and Supervision Agency (BDDK), the Central Bank of the Republic of Turkey (CBRT), and the regulatory authorities in the UAE. It will be finalized once the Turkish Competition Authority grants clearance.
Dr. Adnan Chilwan, CEO of DIB Group, expressed his views on the partnership, stating that their entry into the Turkish banking sector through investment in a digital financial group is a testament to their dynamic approach to an evolving market environment. He believes that digital banking solutions in Turkey and other markets will enhance their efforts to provide financial services to the underbanked and unbanked population segments.
DIB has been operating in Turkey for over 15 years as one of the largest lenders from the Gulf Cooperation Council (GCC). This investment in T.O.M. Group confirms their commitment to the country, particularly in the consumer banking sector.
Chilwan emphasized the strategic significance of Turkey in their growth strategy, considering the substantial market dynamics and opportunities in the digital banking and fintech sector.
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