DUBAI: Dubai Islamic Bank said its board had approved plans to fully acquire its mortgage unit Tamweel, in which it already holds a majority stake of 58.2 percent.
Dubai’s largest Shariah-compliant lender intends to make a tender offer to buy all shares off Tamweel’s other shareholders, it said in an e-mailed statement.
Each Tamweel shareholder will be offered 10 DIB shares for every 18 Tamweel shares. After closing the offer, DIB will apply to the regulator to delist Tamweel from the Dubai Financial Market.
DIB took a 57.33 percent stake in Tamweel in 2010, a move that rescued the mortgage lender, which was struggling during a crash of Dubai’s property market.
Tamweel’s current market value is about AED1.19 billion ($ 323 million). DIB said it would seek shareholder approval to issue new shares; no date for the shareholder meeting was provided.
Before the announcement, shares of Tamweel ended 2.5 percent lower while DIB was up 1.5 percent.
The mortgage firm is expected to be among the companies most affected by a new UUAE central bank regulation, introduced this week, to cap the size of mortgage loans for foreigners and local citizens.
Dubai Islamic Bank to fully acquire Tamweel
Dubai Islamic Bank to fully acquire Tamweel
Maersk to resume Suez Canal sailings for MECL service
- Shipping companies are weighing a return to the critical Asia-Europe trade corridor more than two years after they started rerouting vessels around Africa following Yemeni Houthi rebels’ attacks
OSLO: Shipping group Maersk will resume sailings via the Red Sea and the Suez Canal for its MECL service, connecting the Middle East and India with the US east coast, the Danish company said on Thursday.
“Maersk has decided to implement a structural return to the trans-Suez route for all MECL service sailings,” the company said in a statement, adding that this was part of a stepwise approach for its fleet.
Shipping companies are weighing a return to the critical Asia-Europe trade corridor more than two years after they started rerouting vessels around Africa following Yemeni Houthi rebels’ attacks on ships in the Red Sea in what they said was a show of solidarity with the Palestinians in Gaza.
Maersk on Monday said one of its vessels had tested the route as a ceasefire in Gaza raised hopes for normal shipping traffic.
The change for the MECL service comes into effect with a sailing departing Oman’s port of Salalah on January 26.
The Suez Canal is the fastest route linking Europe and Asia and, until the Houthi attacks, had accounted for about 10 percent of global seaborne trade, according to Clarksons Research.
The ceasefire in the Gaza conflict, in place since October last year, has renewed hope of normalizing Red Sea traffic.
The ceasefire has ended major combat in Gaza over the past three months, but both sides have accused the other of regular violations. More than 440 Palestinians and three Israeli soldiers have been killed since the truce took effect.
