emirates7 - First Abu Dhabi Bank PJSC withdrew its offer to buy a majority stake in Egypt’s biggest investment bank EFG-Hermes, citing global market volatility amid Russia’s invasion of Ukraine, Bloomberg reported.
FAB had offered to buy a majority stake in EFG-Hermes, valuing the firm at $1.2 billion in February. The deal was set to be the biggest acquisition yet in Egypt by the UAE’s largest lender.
“After careful consideration and in the context of ongoing global market uncertainty and volatile macro-economic conditions, First Abu Dhabi Bank has decided to withdraw its non-binding offer,” FAB said in a statement on Thursday.
“Egypt remains a strategically important market for FAB, where the bank will continue to support its customers and employees and continue to invest in the growth of its well-established partnerships and operations.”
FAB shares fell as much as 1.7% in Abu Dhabi on Thursday.
FAB had offered to buy a majority stake in EFG-Hermes, valuing the firm at $1.2 billion in February. The deal was set to be the biggest acquisition yet in Egypt by the UAE’s largest lender.
“After careful consideration and in the context of ongoing global market uncertainty and volatile macro-economic conditions, First Abu Dhabi Bank has decided to withdraw its non-binding offer,” FAB said in a statement on Thursday.
“Egypt remains a strategically important market for FAB, where the bank will continue to support its customers and employees and continue to invest in the growth of its well-established partnerships and operations.”
FAB shares fell as much as 1.7% in Abu Dhabi on Thursday.