The board of directors of Dubai Islamic Bank (DIB) has proposed the acquisition of Noor Bank through a strategic investment and approved a share swap ratio of 1 new DIB share for every 5.49 shares of Noor Bank through the issuance of 651,159,198 new DIB shares.
DIB’s general assembly will convene on December 17 for considering, and if seen fit, passing resolutions relating to all matters regarding the proposed acquisition, DIB said in a statement.
In case of no quorum, a second meeting is set for December 24.
The proposed strategic investment is by issuing new shares in DIB for an in-kind contribution of 99.999 percent of Noor Bank’s issued share capital held by Noor Investment Group and Emirates Investment Authority, who will subsequently become strategic investors in DIB, the statement said.
Noor Bank is the only remaining unlisted bank in the UAE following a three-way tie-up between listed banks Abu Dhabi Commercial Bank (ADCB) and Union National Bank (UNB) with unlisted Islamic lender Al Hilal Bank.
(Reporting by Gerard Aoun; editing by Seban Scaria)
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