Dubai Islamic Bank (DIB) said it has gained the necessary approvals and authorisations from the government financial institutions to execute the share swap with Tamweel investors on Thursday (May 9). 

 

DIB is the majority shareholder in Tamweel with 58.2 per cent of the issued equity.

 

The Islamic lender had extended the deadline to March 30 for acceptance of Tamweel share swap applications, to allow adequate time for shareholders to complete administrative formalities.

 

Announcing the new dates of share issuance and  Tamweel share swap, Dr Adnan Chilwan, the deputy CEO said, "Assenting shareholder accounts will be credited automatically with DIB shares and their Tamweel shares will be debited simultaneously. Fractional entitlements will be settled with cash by DIB and distributed by DFM either directly or as appropriately agreed with DFM." 

 

He thanked the Ministry of Economy, the Securities and Commodities Authority of the UAE, Central Bank of the UAE, the Dubai Financial Market; and the shareholders of DIB and Tamweel for their extraordinary support in helping the bank expedite the acquisition process. 

 

"The strength of DIB’s balance sheet and access to DIB’s diverse, low-cost deposit base significantly enhances the attractiveness of this business. This will result in a much more viable and profitable business model going forward. With this acquisition, DIB is now ideally positioned to play its due role in the resurgence of the real estate market in the UAE," he added.-TradeArabia News Service