(ADIB) Abu Dhabi Islamic Bank announces holding board of directors' meeting on April 10, 2007
Disclosure says something like ADIB BOD meeting to discuss 100% of National Development Bank NDB in Egypt with Emirates International Investment Company (I asked ADSM and hope I understood the information correctly).
Reuters or someone will have news soon enough I imagine.
Reuters or someone will have news soon enough I imagine.
Ah, here's the Reuters story ... although I can't find anything on the SCA website (which is where Reuters said they found it )
Reuters 09 April 2007:
Abu Dhabi Islamic Bank may buy Egypt lender
ABU DHABI - Abu Dhabi Islamic Bank (ADIB), the Gulf’s sixth-largest Islamic lender by market value, said on Monday it was considering buying Egypt’s National Development Bank with Emirates International Investment Co (EIIC).
The bank’s board will meet on Tuesday to discuss the possible 100 percent joint acquisition, the lender said in a statement on the Web site of the Securities & Commodities Authority (ESCA), the United Arab Emirates stock market regulator.
ADIB’s Senior Vice President Amjad Younes told Reuters the bank and its partner were bidding in competition with unidentified Saudi lenders. The competition may be over by Friday, he said.
Emirates International is owned by the ruling family Abu Dhabi and the main shareholder of the Abu Dhabi Islamic Bank.
Well, nothing wrong with trying to pick up a bargain I guess. It hardly seems surprising that it failed though. What do ADIB know about Egypt's National Development Bank that all the other shareholders don't?
Reuters Saturday 14 April 2007:
Egypt cenbank rejects UAE bid for bank
ABU DHABI - Egypt's central bank has rejected a sole bid by a consortium led by Abu Dhabi Islamic Bank (ADIB) for Egypt's National Bank for Development, calling it too low, a member of the group said on Thursday.
"The Egyptian central bank has rejected the offer made by Abu Dhabi Islamic Bank and Emirates International Investment Company," an Emirates International spokesman said in a statement. "The Egyptian central bank said the price of 11 Egyptian pounds (US1.93) per share was low."
An official at the National Bank for Development said earlier that the offer, which was less than one-third of the lender's market price when it was announced, was the only bid received.
The price was below the year low of 13.14 pounds for National Bank stock. Shares plunged 55 percent to 16.25 in local trading on Thursday, after hitting 36.17 when the offer was announced this week.
The UAE consortium is effectively led by the ruling family of Abu Dhabi, the largest member of the United Arab Emirates federation.
Emirates International, owned by the ruling family, is the biggest shareholder of Abu Dhabi Islamic Bank.
National Bank for Development had 28.19 million shares issued at the end of 2006, which would value the bid at 310 million pounds.
The winning bidder must undertake to raise the bank's capital to 500 million pounds, the stock exchange said on Thursday.
The Egyptian government owns 17.86 percent of National Bank, with the rest in private hands, it said.
Egypt's central bank is encouraging consolidation in the banking sector and wants the government to reduce its holdings in lenders. Bank of Alexandria was the first of four big state-owned banks to be privatized last year.
I see Reuters have changed the name from National Development Bank (NDB) to National Bank for Development (NBD), which of course in the UAE is possible to confuse with the National Bank of Dubai (NBD).
Reuters 15 Apr 2007:
Egypt bank shareholders 'positive about UAE bid'
Cairo: Private shareholders in Egypt's National Bank for Development (NBD) are interested in a bid for the bank from a UAE consortium led by Abu Dhabi Islamic Bank (ADIB), an Egyptian official said yesterday.
The official, Central Bank Deputy Governor Tareq Amer, denied a previous statement that his bank had rejected the bid for NBD.
An official of Emirates International Investment Company, which is a member of the UAE consortium, said in a statement on Thursday that the central bank had rejected the bid as too low.
The bid, at 11 Egyptian pounds ($1.93) a share, or 310 million pounds for the whole bank, was about one-third of the market price of the shares before the bidding began.
Amer told Reuters: "The bid has not been rejected. I am denying that on behalf of the central bank.
"In fact, it is being considered positively by the private shareholders. They are looking at it to decide," he added.
The official said the Egyptian government, as a minority shareholder with a 17.86 per cent stake in NBD, was not in a position to impose its views anyway.
He gave no indication of when the private shareholders may reach a final decision on the bid, which is the only one that the bank has received.
Emirates International is the biggest shareholder of Abu Dhabi Islamic Bank.
Egypt's central bank is encouraging consolidation in the banking sector and wants the government to reduce its holdings in lenders.
Bank of Alexandria was the first of four big state-owned banks to be privatised last year.
Seems to be a bit of a communication problem here between ADIB, National Development Bank, Egypt's Central Bank, and Emirates International Investment Company ...
Reuters Tuesday, 17 April 2007:
UAE waiting on National Bank for Development bid
Abu Dhabi Islamic Bank (ADIB) said on Monday it had not heard from Egypt's central bank about its consortium's 11 pounds per share bid for Egypt's National Bank for Development.
"Until now we have not received any information from Egypt," Managing Director Ahmed Darwish bin Dagher al-Marrar told a shareholders meeting.
Last week, a spokesman of Emirates International Investment Company, the lender's partner in the bid, said in a statement that Egypt's central bank rejected the offer because the price was too low.
An official at the National Bank for Development has said the offer, which was less than one-third of the lender's market price when it was announced, was the only bid received.
The price was below the year low of 13.14 pounds for National Bank stock.
The UAE consortium is effectively led by the ruling family of Abu Dhabi, the largest member of the United Arab Emirates federation.
Emirates International, owned by the ruling family, is the biggest shareholder of Abu Dhabi Islamic Bank.
National Bank for Development had 28.19 million shares issued at the end of 2006, which would value the bid at 310 million pounds.
...
Moved last couple of lines about the ADIB AGM 16 April 2007 to this topic...
Then there's this communication which makes it sound like the CMA in Egypt (I presume means Capital Markets Authority or similar) is waiting for something from ADIB?
ArabFinance appears to be a stock market portal for Egypt's stockmarkets, and has a connection to EFG-Hermes.
arabfinance.com 17 Apr 2007:
CMA's letter sent to Abu Dhabi Islamic Bank
Referring to the CMA's letter sent to Abu Dhabi Islamic Bank (ADIB) and Emirate International Co. for Investment, dated on 16/04/2007 including the following:
"Referring to the tender offer submitted from your bank to acquire National Development Bank based on the sealed bid offers proposal system, and according to acquisition rules and regulations in the Egyptian market, it is requested to send to the CMA a letter clarifying the intend of submitting a tender offer to acquire National Development Bank (DEVE.CA) or not."
And yesterday there was this...
arabfinance.com 16 Apr 2007:
NDB’s majority shareholders approve the offer
(16 Apr. 2007)
Arab Finance: National Development Bank (DEVE.CA) sent a release to CASE asserting that the group of majority shareholders, which owns 52.6 % stake of the bank, will approve preliminary on the offer made by the Emirati party if it is to be submitted according to the capital market laws and regulations.
Going back a couple more days...
arabfinance 12 April 2007:
National Development Bank received one financial offer (12 Apr. 2007)
Arab Finance: National Development Bank (DEVE.CA) sent a release to CASE stating that the committee held on 10/04/2007 to open the sealed bid offers proposals, has received a tender offer from Abu Dhabi Consortium and Emirate International Co. for Investment to acquire 100 % from National Development Bank's capital, either from the public stake (17.86%) or the private sector (82.14%) at LE 11 per share.
The bank added that National Commercial Bank (A. S.K) & International Commercial Bank (Egypt) declined submitting any financial offer to acquire the bank.
(ADIB) Abu Dhabi Islamic Bank announces results of board of directors' meeting held on April 26, 2007
There were three items. Two are to do with change of chairman and vice-chairman for ADIB. The third item is something about preparing some documents or approval letters for National Development Bank. Maybe there'll be more clarification later from one of the news organisations. _________________ UAE IPO list | posting guidelines
Last edited by sharewadi on Wed 27 Jun 2007 14:56; edited 1 time in total
(ADIB) Abu Dhabi Islamic Bank announces holding board of directors' meeting on May 2, 2007
ADIB 01 May 2007:
Pursuant to our letter to you dated 26 April 2007, please be advised that the Board of Directors will convene on 2 May 2007 to discuss several items on its agenda, including Acquisition of National Development Bank - Egypt, and participation in the establishment of an Investment Company.
We will notify you of the relevant Board resolutions as soon as they are adopted.
Please accept our best wishes.
Ahmed Darweesh Bin Dagher Al Marar
Managing Director
Abu Dhabi Islamic Bank
Abu Dhabi Islamic Bank announces results of board of directors' meeting held on May 5, 2007
ADIB 05 May 2007:
Pursuant to our letter to you dated May 1, 2007, please be advised that the Abu Dhabi Islamic Bank Board of Directors convened on May 5 2007 has resolved as follows:
To approve acquisition in National Bank of Development - Egypt in a consortium with Emirates International Investment Company.
Please accept our best wishes
Ahmed Darweesh Bin Dagher Al Marar
Managing Director
Abu Dhabi Islamic Bank
Just saw this on businesstodayegypt.com - appears to be from May 2007 edition.
Presumably the CBE is the Central Bank of Egypt. Haven't seen anything else recently about this deal ...
Business Today Egypt May 2007:
Bids for the National Development Bank (NDB, bt100 number 38 ) have been rolling in, with an Abu Dhabi Islamic Bank-Emirates International Investment Company consortium requesting to acquire 100% of NDB’s capital at LE 11 per share. The National Commercial Bank of Saudi Arabia and Egypt’s Commercial International Bank (CIB, bt100 number 13) declined to submit any financial offers to acquire the bank.
With the announcement of Abu Dhabi Islamic’s offer, 52.6% of NDB’s shareholders expressed their interest in the offer. Meanwhile, Minister of Investment Mahmoud Mohieldin refused to sell the public sector’s 17% stake in NBD. The offer, nevertheless, has been preliminarily approved by the CBE.
Here's a bit more from what appears to be the June 2007 edition...
businesstodayegypt.com June 2007:
Founded in 1980, the NBD finances small- and medium-sized enterprises and development projects through its 67 branches. In 2005, the National Development Bank received an acquisition offer from Commercial International Bank (bt100 number 15), but talks subsequently broke down.
Following announcements that the state would not permit the sale of a majority stake in NDB, the Abu Dhabi Islamic Bank acquired 49% of NBD’s shares in April 2007, having pulled back from an earlier offer of 52.8%. The Central Bank is requiring that the NDB increase its capital to LE 2 billion by 2010.
Abu Dhabi Islamic, the Gulf’s sixth-largest Islamic lender, edged out Saudi’s National Commercial Bank, the GCC’s largest bank, in the sale.
Abu Dhabi Islamic Bank (ADIB) and Emirates International Investment Company (EIIC) offered 310 million Egyptian pounds ($54 million) on Tuesday for full control of Egypt's National Bank for Development.
They said in a published announcement that their offer - 11 pounds a share for all of the bank's 28.192 million shares - would be valid for 20 working days starting on Wednesday.
The takeover will go through as long as they receive offers which amount to a little over 51% of the bank's equity, they said.
The Abu Dhabi bank and EIIC made an identical but informal offer for the Egyptian bank in April but negotiations languished when the Egyptian government, which owns 17.86 percent of NBD, declined to sell at that price.
The central bank official who was handling the government's stake was not immediately available on Tuesday to say whether the government had changed its mind.
But even at that stage shareholders holding at least 53% of NBD's equity had agreed to sell at the price of 11 pounds a share, an official said.
The price was about one third of what NBD shares were worth before the shareholders tried to sell the bank in April in an auction in which the Emirates consortium was the only bidder.
National Bank for Development is one of Egypt's smaller banks and has made losses in recent years. Eighteen of its branches already operate under Islamic banking regulations.
But it is one of the few banks which have not changed hands in recent years during a major upheaval in the banking system.
Foreign banks are keen to operate in the Egyptian banking market but the central bank has restricted the number of licences available, making takeovers the only way to move in.
European banks have been especially active in the retail sector, led by Credit Agricole and Societe Generale of France, Sanpaolo of Italy and Piraeus Bank of Greece. Lebanese banks have also moved in.
Abu Dhabi Islamic Bank (ADIB) has completed the deal to buy a stake in National Develoopment Bank Egypt (NDB) according to a a statement from Khamis Buharoon, the ADIB MD, in a press release yesterday about an ADIB party...
Press Release 28 May 2008:
" ... following recent acquisition of the National Bank of Development in Egypt ... "
So for the sake of completeness, have added that statement here. What's curious is that I can't find any news that followed on from the previous post about the ADIB proposal.
The ADIB annual report for 2007 Note 13 says ADIB have a 49% ownership interest in NDB, and this comment, but nothing else.
ADIB 2007 FY report Note 13:
The above table does not include the summarised 2007 financial information on the investment in National Bank for Development as reliable information prepared in accordance with International Financial Reporting Standards is not yet available.
You cannot post new topics in this forum You cannot reply to topics in this forum You cannot edit your posts in this forum You cannot delete your posts in this forum You cannot vote in polls in this forum
Disclaimer: Investing in stocks is risky, you can lose some or all of your money and/or other assets. Anything you read on this site should be regarded as the opinion of the author only and is not to be taken as advice to buy, sell, or hold stocks and/or any other investments. Seek professional advice and do your due diligence before making investment decisions. In particular, do not assume anything you read on this site is correct or accurate. You should accept that only you can be responsible for any investing decisions you make.
2008 FY
FAQ
Search
Print-friendly
Profile
Private messages
Register
Log in
... although I can't find anything on the SCA website (which is where Reuters said they found it 
)
...
