The First Abu Dhabi Bank headquarters in Abu Dhabi (FAB)
First Abu Dhabi Bank reckons that the present is not opportune to go ahead with acquiring a majority in EFG Hermes Holding. Image Credit: Abdul Rahman/Gulf News

Dubai: Abu Dhabi banking giant FAB has decided to withdraw the offer to buy a majority stake in Egyptian financial services firm EFG Hermes Holding.

The bank said this was based on ‘careful consideration and in the context of ongoing global market uncertainty and volatile macro-economic conditions’. "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 in Egypt," Fist Abu Dhabi Bank added in a statement.

It was in February that FAB made the move to acquire a controlling stake in the Egyptian financial services firm, which valued the listed entity at $1.18 billion. FAB had earlier bought the Egyptian operations of Lebanon’s Bank Audi.

Recently, some of the leading Abu Dhabi based blue-chip entities had been channelling substantial investments into the key North African market. ADQ, the investment company, on Wednesday said it now has stakes in multiple publicly listed Egyptian companies, including Commercial International Bank. The former – which operates a $20 billion investment platform targeting opportunities in Egypt – also owns a majority stake in developer SODIC along with Aldar Properties.