Skip to content Skip to Search
Skip navigation

Gulf banks move step closer to creating $115bn new lender

Supplied
Kuwait Finance House

Kuwait Finance House (KFH) has made a firm offer to buy Bahrain’s Ahli United Bank (AUB).

The bumper deal would create the Gulf’s seventh-largest lender with $115 billion in assets.

In a statement on the Bahrain Stock Exchange on Monday, AUB said it had received a notice of firm intention from KFH to acquire 100 percent of shares in the Bahraini lender.

Earlier this month, the value of the deal was estimated at around $11.6billion. 

Kuwait’s central bank approved the merger this month, further evidence of an ongoing trend for bank mergers in the Gulf, as lenders react to the tightening economic conditions in a post-pandemic environment, and the rise digital banks.

Masraf Al Rayan and Al Khalij Commercial Bank agreed to combine last year, while Saudi Arabia’s National Commercial Bank bought Samba Financial Group in 2020.

In June, HSBC Bank Oman said it would hold preliminary talks with local rival Sohar International Bank for a potential merger.

Latest articles

Flooding in Dubai affected many people's homes. Emaar has promised .free repairs for its residents, and an upgraded sewerage system is planned

Emaar promises free repairs as Dubai launches sewerage system

Emaar Properties is offering free repairs to residents whose homes were damaged during this week’s extreme flooding, as Dubai also announced a AED80 billion ($22 billion) sewerage system, following a review of infrastructure ordered by the UAE president. The developer, which is listed on the Dubai stock exchange, announced on Friday it would repair all […]

Construction work in Kuwait. Nurseries, schools and shops are being built for the new residential district of Al Metlaa

Kuwait signs $140m contracts for Al Metlaa development

Kuwait’s Public Authority for Housing Welfare (PAHW) has signed two contracts worth KD42 million ($140 million) to construct public buildings in Al Metlaa, a new residential district north of Kuwait City. Nurseries, stores, schools and shops will be included, state news agency Kuna reported. Electricity connections have been provided for 109 buildings in the district, […]

Iraq gas oil

Iraq to auction 30 oil and gas projects this month

Iraq will auction 30 new oil and gas projects in two licensing rounds before the end of April. The bidding round will be held on April 27, Reuters reported, citing an oil ministry statement. Last October Iraq passed a long-awaited oil and gas law, which will help the country attract more international investments into the hydrocarbon industry and boost government revenues.  Ali Metwally, an […]

Workers at Cano Limon oil field in eastern Colombia. Oil is one of the country's largest exports

UAE strikes Colombia deal to strengthen Latin American links

The UAE has strengthened trade relations with Latin America after signing a comprehensive economic partnership agreement with Colombia, just days after a Cepa deal was struck with Costa Rica. Officials from the UAE and Colombia put pen to paper on an agreement that will cut tariffs and remove trade barriers between the two countries. UAE […]