KUALA LUMPUR, July 18 — Affin Bank Bhd’s shares fell at mid-afternoon ahead of the signing of a shares acquisition agreement between the Sarawak state government and the Armed Forces Fund Board (LTAT), the bank’s major shareholder, tomorrow.

At 4.25pm, the counter eased two sen to RM2.96 with 2.75 million shares traded.

According to news reports back in February, Bank Negara Malaysia is mulling the Sarawak government’s proposal to increase its holding in Affin Bank to around 30 per cent, making it the largest shareholder in the banking group.

The Sarawak government had a 4.95 per cent stake in the bank after it purchased 112.56 million shares in mid-April last year for RM221.74 million.

Last week, Sarawak Premier Tan Sri Abang Johari Tun Openg disclosed that Sarawak's takeover of Affin Bank would be sealed on July 19.

The LTAT is currently Affin Bank’s largest shareholder with a 28.79 per cent stake, followed by the Bank of East Asia Ltd (23.93 per cent), and LTAT’s wholly-owned unit Boustead Holdings Bhd (20.02 per cent). — Bernama