Malaysia's biggest lender, Maybank, today announced a modest rise of 4.6 percent in first-half profits and voiced interest in acquiring a new bank with US$2.1 billion (RM7.35 billion) cash in hand.

Maybank attributed its performance to stronger loan growth in its overseas operations, such as in neighbouring Singapore, with net profit for the six months to December rising to RM1.37 billion from RM1.31 billion ringgit a year earlier.

Amirsham Aziz, Maybank chief executive officer, said the local giant was looking for a suitable acquisition locally or in the region, adding that it was flush with US$2.1 billion dollars cash.

"We are looking at banks with a decent size. It has to be a top 10 bank in the market. With the war chest that we have, we should be able to acquire a top 10 bank.

"If we can't find anything, then we will return the capital," he added.

Maybank posted a net interest income of RM2.547 billion ringgit in the first half to December, against RM2.197 billion a year earlier.

Non-interest income came in at RM1.34 billion ringgit from RM1.34 billion a year ago.

Amirsham said he saw conditions in the second half improving as the bank would have completed a strategic review of its mortgage loans portfolio, while corporate loans should see a "big improvement".