FAB seeks to acquire majority stakes in Egyptian bank EFG Hermes

FAB seeks to acquire majority stakes in Egyptian bank EFG Hermes

First Abu Dhabi Bank (FAB), UAE’s leading and largest bank, has made an offer to buy a controlling stake in Egypt’s biggest investment bank, EFG Hermes.

FAB has made an offer for a potential cash acquisition of a majority stake not less than 51 percent of the company’s issued share capital with an estimated purchase price of $1.21 per share.

“The completion of the transaction and the final purchase price is conditional upon the completion of a satisfactory comprehensive due diligence on the company, and the receipt of the required regulatory approvals, upon which a mandatory tender offer will be made to all shareholders of the company, in accordance with Law 95 of 1992 and its executive regulations,” according to a regulatory statement.

If the deal succeeds, it would mark FAB’s second major transaction in Egypt after it bought the Egyptian business of Lebanon’s Bank Audi last year.

The offer stresses the outstanding reputation of EFG Hermes in regional and global markets and recognizes its strong management team, high standards of corporate governance, and strong brand equity. The offer also views the employees of the company as a vital component of the organization’s ability to compete and succeed, it said.

“The offer has been shared