Dubai: In a significant transaction, Dubai Holding now owns 14.84 per cent in Emirates NBD, one of the Top 3 banking institutions in the UAE.
This is how the deal was done – Investment Corporation of Dubai, whose assets include Emirates Group and Emirates NBD - transferred 937.5 million ordinary shares in the bank to a Dubai Holding owned subsidairy.
That entity, DH 7 LLC, will thus have 14.84 per cent of Emirates NBD, while ICD retains 40.91 per cent.
ICD had reported just over Dh28 billion as net profit for its first-half 2023. The Emirates NBD stake sale could fire up action on DFM in the coming days - the stock is Dh17.9 against a 52-week high of Dh19.
“The Emirates NBD stock is 39 per cent up this year, while the overall DFM index’s gains are running at 16 per cent,” said an analyst. “The UAE mega-banks have had a bumper year, riding on loan growth and higher interest rates. Emirates NBD, with its growing overseas interests, is very much one of Dubai’s blue-chips.”
Dubai Holding's portfolio lists some of the biggest corporate entities in the country, including real estate heavyweights Dubai Properties and Meraas, the Tecom Group, and Jumeirah Hotels and Resorts.
