SGB plans to raise $50 million, targeting stablecoin payments firm acquisition to strengthen its position in the digital asset market.
Singapore Gulf Bank (SGB) is aiming to raise at least $50 million in a funding round. The bank plans to secure the funds by early 2025. It is currently in talks with a Middle Eastern sovereign wealth fund and other investors. According to Bloomberg, SGB intends to sell an equity stake of less than 10%. The decision was made at a time when the bank is trying to consolidate its presence in the digital asset market.
SGB is a startup bank that is owned by Singapore’s Whampoa Group. It was issued a banking license in Bahrain this year in the earlier part of this year. This is a major milestone for it in its growth in the Middle East which is opening up to cryptocurrencies. This new funding will help SGB to make improvements to its products, as well as expand the payment network. Also, it seeks to attract talented employees for expansion of its business.
SGB Targets Stablecoin Payments Firm for Strategic Growth
Apart from the funding activities, SGB has a strategized acquisition in the pipeline. The bank wants to acquire a firm that deals with stablecoin payments. For this acquisition it is eyeing firms located in the Middle East or Europe. The merger is expected to occur in the first quarter of the year 2025. This consolidation is in line with the bank’s global objective to enter the digital asset market.
The following efforts are in line with the broader goals of the bank. SGB is aiming to take one of the central roles in the digital banking market. It will focus on connecting conventional finance with new Web3 solutions. This includes stablecoins which are a vital instrument in global finance at the current times.
As SGB continues to grow, it is targeting a place with massive interest in cryptocurrency. The Middle East is now a center of excellence for cryptos, and SGB wants to capitalize on it. By buying a payments company that deals in stablecoins and issuing securities, the bank is only securing itself in a new world of finance.
SGB aims to serve investors, institution and inventors across the globe. Some of the strategic actions indicate that the bank is planning to build a sustainable future. The company’s goal is to occupy a prominent place in the development of finance by focusing on the promising digital asset industry.
