#AbuDhabi’s three-way banking merger likely in 2019 first quarter

Abu Dhabi’s three-way banking merger likely in 2019 first quarter:

Creating bigger banks would help with the industry’s medium-term progress, especially as fintech-related services are making a presence regionally, analysts said as news reports emerged that the merger of Abu Dhabi Commercial Bank (ADCB), Union National Bank and Al Hilal Bank is expected to be completed in the first quarter next year.

The Arabic daily ‘Al Khaleej’ quoting sources reported that a committee consisting of financial and legal consultants completed the merger study and a decision is expected in February. The merger would result in GCC’s fifth largest bank with a capital of $13.8 billion (Dh51 billion) and assets of about $120 billion (Dh440.7 billion). The new bank will offer commercial banking and Islamic banking services.

The development comes after ADCB and Union National Bank both confirmed in separate statements on Abu Dhabi bourse in September that they are in early talks about a potential merger.