Emirates NBD denies reports it has exited the race to buy Blom’s Egypt arm
M&A WATCH- Emirates NBD denies reports it has exited the race to buy Blom’s Egypt arm: Sources at Emirates NBD have rejected claims that it has pulled out of the race to acquire Blom Bank Egypt and said the bank will submit an offer in the coming days, Hapi Journal reports. Al Arabiya reported earlier in the day that Emirates NBD had withdrawn from talks, leaving the Arab Banking Corporation (Bank ABC) in pole position to acquire the Lebanese bank’s Egypt arm. Emirates NBD finished due diligence in the middle of October while reports suggest the Bahraini bank will wrap it up before the end of this month.
Background: Lebanon’s Blom Bank announced in August it was looking to sell its Egypt unit in response to the economic crisis roiling its home country. The sale will allow the bank to raise its capital by some USD 240 mn to comply with higher capital requirements the Lebanese central bank recently introduced to up the banking sector, Al Arabiya gave the figure yesterday.