RHB and CIMB refute merger talks

An RHB official denied last week report saying that it is not in any discussion with CIMB on any potential takeover offer.

Malaysian lenders RHB Capital and CIMB Group deny a newspaper report saying they are in merger talks, a move that would have created Southeast Asia’s biggest bank by market value.

Last week the Singapore Straits Times newspaper cited sources as saying RHB, Malaysia’s fifth-largest bank, was planning to launch a takeover of its larger rival CIMB. The paper said work was 'in progress' on the merger deal.

"RHB is not in any discussion with CIMB on any potential takeover offer," an RHB spokeswoman said in a statement.

It comes amid heated consolidation efforts in the Malaysia banking sector.

View the full story in CPI Financial.