Abu Dhabi: First Gulf Bank (FGB) has announced its plans to merge with National Bank of Abu Dhabi (NBAD) to create the largest bank in the Middle East and North Africa region, a bank with the size and strength to drive forward the ambitions of the UAE and its residents.
The merger accelerating their growth strategy has been based on developing cross-business synergies and diversifying revenues. By bringing together NBAD and FGB, it will create a new, well-balanced bank with agile operations, financial strength, expertise and global network to fuel growth in the UAE economy and drive the country’s international business relationships.
The bank will be the largest in the MENA region with AED 642 billion ($175 billion) of assets based on Q1 2016 financials and the number one financial institution in the UAE. The bank will also have an expanded international network with a presence in 19 overseas markets.
Andre Sayegh, Chief Executive Officer of First Gulf Bank, said, “We believe there is an immense opportunity to support your business ambitions and ambitions of the people you employ through our expanded range of banking services and expanded global network. We will promote further investment and economic diversification and support the development of the UAE’s private sector, from SMEs to large companies gathering strength to expand beyond their national borders. We want to be the financial partner that supports the UAE companies with global ambitions as well as a gateway for companies from around the world wanting to do business in the UAE and across the countries where we operate. We also believe that our size, diversified assets and superior technology provide a competitive advantage to lead in the new banking environment of more stringent regulation, digitalization and demand for personalised services.”
Andre Sayegh added that the both banks will continue to operate independently as separate entities until the merger becomes effective. “In the meantime, your banking services are not impacted in any way. We are fully committed to delivering our products and services with our usual high level of professionalism. Please continue to visit your relationship manager or use our online banking services as always.”
The new bank will be called NBAD, reflecting the combined entity’s deep roots and experience in the MENA region and the global importance of Abu Dhabi. H.H. Sheikh Tahnoon Bin Zayed Al Nahyan, who is currently the Chairman of FGB, is the Chairman designate. H.E. Nasser Ahmed Alsowaidi, who is currently the Chairman of NBAD, is the Vice Chairman, and Abdulhamid M. Saeed, who is currently the Board Member and the Managing Director of FGB, is the Chief Executive Officer designate for the new NBAD. New board and management will assume the new roles when the merger becomes effective in Q1 2017. Until then Andre Sayegh and Alex Thursby will continue as Group Chief Executive Officers of FGB and NBAD respectively.
