KARACHI: The State Bank of Pakistan (SBP) has allowed United Bank Limited (UBL) for due diligence to acquire Telenor Microfinance Bank, a bourse filing said on Tuesday.

“The SBP had granted in-principle approval to UBL to commence the due diligence of Telenor Microfinance Bank Limited (TMB) for proposed acquisition of 55 per cent sponsor shares in TMB, currently held by Telenor Pakistan BV (operating under the Easypaisa brand name), subject to the compliance with the applicable laws, rules and regulations,” UBL informed the Pakistan Stock Exchange (PSX).

TMB is the first scheduled microfinance bank of Pakistan that is designed to operate as a fintech, and to promote financial inclusion by empowering all Pakistanis to adapt convenient and secure digital financial solutions through its flagship digital payments platform Easypaisa.

Telenor Microfinance Bank is jointly owned by Telenor Group, the leading telecommunications company across Scandinavia and Asia with 174 million customers, and Ant Group, operator of the world’s leading payment and lifestyle platform Alipay that’s also an affiliate company of Alibaba Group.

Telenor Microfinance Bank, formerly Tameer Microfinance Bank, is a Pakistani microfinance bank which is based in Karachi, Pakistan. It was founded in 2006 by Nadeem Hussain as Tameer Microfinance Bank which was later acquired by Telenor Pakistan.