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Two Gulf Region Banks Said To Explore Merger
A pair of banks in the Gulf region of the Middle East are considering a merger, a report says.
A pair of banks in the Gulf region are exploring merger talks
that, if brought to fruition, will create the region’s
largest lender, according to Bloomberg, quoting unnamed
sources.
The banks concerned are National Bank of Abu Dhabi PJSC and First
Gulf Bank PJSC. The banks declined to comment when contacted by
the news service. WealthBriefing, meanwhile, has
contacted NBAD and First Gulf Bank PJSC.
The news service's report said talks are in preliminary
stages. While negotiations are ongoing, NBAD and FGB may decide
against pursuing a merger, sources said.
With assets of about $170 billion, the potential combination
would surpass Qatar National Bank SAQ as the largest bank in the
region. The region faces headwinds from decelerating economic
growth and the impact of weaker oil prices.
The report noted that a deal would be the United Arab Emirates’s
first major banking-industry merger since National Bank of Dubai
and Emirates Bank International combined to create Emirates NBD
PJSC in 2007.