By: Mahmoud Gamal
Abu Dhabi-Mubasher: First Gulf Bank (FGB) and National Bank of Abu Dhabi (NBAD) acquired 83% of Abu Dhabi market’s liquidity in Sunday’s early trades after their boards recommended merging both lenders.
FGB was the value leader by 10:40am UAE time after generating AED 23.24 million, representing 44.3% of the market’s turnover worth AED 52.5 million. The stock reached AED 13.10 after rising 3.6%.
The boards’ recommendation is the first step to create the largest combined bank in the MENA region, capital market analyst Zamil Al-Otaibi said.
NBAD ranked second in terms of turnover after generating AED 22.69 million, accounting for 43.2% of the market’s liquidity. The bank’s stock grew 5.6% to AED 10.20.
News published on the merger process will attract foreign investment to the local stock market especially that the UAE bourses are still incorporated into MSCI's emerging markets index, Al-Otaibi noted.
Translated by: Julian Nabil
