Islamabad (Reuters): Bahrain-based Bank Alkhair said on Wednesday it had received approval from the State Bank of Pakistan to sell its stake in Pakistan 's Burj Bank to a subsidiary of Bahrain 's Al Baraka Banking Group.

Al Baraka, one of the Gulf's top Islamic banks, had said in September that its Pakistani unit, Al Baraka Pakistan , would merge with Burj Bank to create an institution with assets totalling more than $1.1 billion.

Bank Alkhair is an Islamic bank with a presence in Bahrain , Saudi Arabia, Dubai, Malaysia and Turkey.