UAE:
Abu Dhabi Islamic Bank (ADIB) has signed an agreement to acquire the
retail banking business of Barclays Bank in the UAE for at an estimated
AED650 million (US$176.94 million). The completion of the acquisition is
subject to the approval of the Central Bank of the UAE and is expected to
add around 110,000 customers to ADIB’s customer base.
“This transaction is a perfect fit for our strategy as we expand into the
expatriate market segment, without disrupting our loyal existing customer
base. Once completed, Barclays customers will enjoy access to one of the
three largest branch networks in the country along with an enhanced range
of market-leading financial solutions backed by ADIB’s number one-rated
customer service,” said Tirad Al Mahmoud, CEO of ADIB. Barclays customers
will be able to access ADIB’s growing network of 80 branches, 600 ATMs
and the UAE’s top rated internet and mobile banking platform.
According to John Vitalo, CEO of MENA for Barclays, the strong interest
in the bank’s UAE retail business is testament to the high quality of the
bank’s business, portfolio and talent. “The decision to exit the UAE
retail banking space, while not taken lightly, allows us to focus on our
businesses in corporate and investment banking and wealth and investment
management. These businesses are strong, performing well, and have
significant future growth potential. Until the transition is complete, we
remain committed to fully servicing our clients,” expounded Vitalo.
As part of its expansion plans, ADIB has also revealed
its intention to open a branch in Basra before the end of this
year. “With Iraq rebuilding its economy through investing in its
infrastructure, energy and industry, we are seeing growing demand for our
banking services, from foreign companies doing business in Iraq as well
as from local companies that are looking for capital and world class
services,” said ADIB.
The bank hopes to tap into Iraq’s improving economy, which is expected to
grow by 6.3% this year, up from 3.7% growth last year, according to the
IMF. According to industry reports the country, OPEC’s second-largest
producer, recently raised its crude oil production last month by 530,000
barrels per day (bpd) to 3.6 million bpd: the highest since 1979. Iraq
plans to boost its output to 4.5 million bpd this year. ADIB’s expansion
in Iraq is part of a larger strategy to grow its international network,
which includes branches in the UK, Egypt, Qatar, Saudi Arabia and Sudan.
|
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.