7 March 2005

ABU DHABI -- Abu Dhabi Commercial Bank (ADCB) is exploring the possible joint ventures in the areas of investment banking and treasury derivatives.

The bank is launching mutual funds besides setting up of an infrastructure fund for the Industrial City Abu Dhabi (ICAD), said Erwin Knox, Chief Executive Officer of ADCB.

In his remarks to the annual general meeting of the ADCB, he said that strategy for the year 2005 will be setting up of dedicated wealth management centers; a banking unit dedicated to Industrial city Abu Dhabi; new customer acquisition channels; a full service share brokerage.

He said that financial institutions division would be reorganised; commercial banking division will be upgraded; retail mortgage and auto loan products are also on anvil.

About products, Erwin Knox said that specialised advisory services and financial facilities for the electricity companies would be offered from this year.

"Seven new branches, kiosk location and significant penetration of ATM locations with upgrades are in pipeline", he said.

During the year 2004, he said the ADCB achieved consolidation of wealth management customers under a single channel; launched third party investment products-mutual funds, hedge funds, and structured Notes.

Customised solutions for specific requirements for high net worth individuals; highly personalised service with access to diverse products to fit any asset allocation was also achieved.

Earlier, the AGM which met under the chairmanship of Saeed Mubarak Al Hajeri approved the distribution of 25 per cent cash dividend and 20 per cent bonus share for the year 2004.

The meeting absolved the directors from responsibility for the work during 2004 and determined their remuneration. The AGM also appointed new external auditors.

Later, an EOGM was held which approved the amendments introduced to article 61(A) of the Articles of Association of the Bank authorising the board of directors to resolve to capitalise any profit available for distribution and any amount standing to the credit of Bank's reserve and available for distribution.

The EOGM also decided that a sum of Dh250 million being part of the bank's profits available for distribution be capitalised and applied in paying up 25 million un-issued shares to be allotted to the shareholders in proportion to their shareholding.

BY HASEEB HAIDER

© Khaleej Times 2005