Two major lenders in the UAE, the First Gulf Bank and the National Bank of Abu Dhabi, have completed a merger to become the largest bank in the country under the name First Abu Dhabi Bank.
The new bank has total assets of $180 billion and capital of nearly $3 billion, making it one of the largest banks in the Middle East as well. The FADB began trading Sunday on the Abu Dhabi Securities Exchange under the symbol “NBAD”, AP reported.
The plan for a merger was first announced in July. The merger takes place as Abu Dhabi, the seat of the UAE’s federal government and home to more than 90% of the country’s oil reserves, grapples with lower oil prices.
UAE shares began the week marginally higher on Sunday on a quiet day for regional equities. Shares in Dubai traded lower in the morning before rising in the late afternoon to finish up 0.3% at 3,491.46. Sunday’s rise was Dubai’s third consecutive positive trading day, its best run since early February.
Damac Properties and Aramex led gains among big name stocks, rising 2.5% and 2.6% respectively. Shares in Arabtec Holding rose 2.5%, as the construction company gave notice of its annual general meeting on April 18. Emaar Properties fell by 1.1% to Dh7.22 ($1.97).
In the capital, the Abu Dhabi Securities Exchange General Index rose 0.1% to 4,449.66. Shares in FADB ended their first day of trading 1.5% higher at Dh10.40.
Shares in Saudi Arabia broke a three-day winning streak, closing down by about 0.2% thanks to weaker banking stocks.
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