Goldman to advise UAE banks on merger

Dubai: Goldman Sachs, one of the world's leading investment banks, will advise Emirates Bank Group (EBG) and National Bank of Dubai (NBD) on their process of merger, the joint steering committee (JSC) of the banks said in a statement yesterday.

On March 6, the two banks had announced their plan to merge their operations in an attempt to create the largest bank in the Gulf region with an asset base of $45 billion.

The JSC, headed by Shaikh Ahmad Bin Saeed Al Maktoum, President of Dubai Civil Aviation and Chairman of Emirates Group, was set up in mid-March to oversee the mega merger. One of the top priorities of the JSC was to find an international advisor to the process of unification.

Ahmad Humaid Al Tayer, chairman of Emirates Bank Group, and Abdullah Mohammad Saleh, chairman of National Bank of Dubai, in a joint statement said, "We are delighted to appoint Goldman Sachs as our lead financial adviser. This appointment is an important step towards the merger of our banks. Goldman Sachs brings valuable experience and expertise which we believe will contribute to delivering an effective merger of our two banks and underscores our commitment to implement the merger in accordance with international best practices."

Goldman Sachs is one of the world's leading global investment banks that acts as advisor to some of the worlds leading companies and governments.

Commenting on the EBG-NBD joint mandate for M&A advisory, Wassim Younan, chief executive officer for Middle East and North Africa at Goldman Sachs International, said in a statement, "We recognise the importance of this transaction in the number of precedents it will set as well its strategic impact on the banking sector in the region. We are committed on delivering superior execution and sound financial advice to our clients in accordance with our business principles."

With the appointment of Goldman Sachs as advisor to the merger deal, analysts expect the financial closure will occur in three to four months.