Bank of America purchased 100 million shares of Emirates NBD, at a value of about 900 million dirhams.
According to the statement, the stake represents about 1.5% of the total shares of the bank listed on the Dubai Financial Market, while the share price, according to today's trading, reached 9.3 dirhams. < / p>
A spokesman for Emirates NBD said that the process reflects the desire of more foreign investors to take advantage of the promising opportunities in the UAE banking sector, noting that according to the market policy, it is not The investment process is required to disclose, because the said investment process represents less than 5% of the total shares of the bank, whose assets amounted to 683 billion dirhams at the end of 2019.
The source pointed out that it is not yet known whether Bank of America made the investment for him or for a third party, adding that the process may be the result of the bank’s desire The American is taking a strategic position in his investment portfolio and benefiting from the strong financial results achieved by the Emirates Bank and its significant investments in the process of promoting digital transformation and digital banking.
The source indicated that the bank will announce its financial results for the first half of the year at the time scheduled for next July. He pointed out that the bank is expected to soon process a restructuring of operations under the new circumstances and reduce the number of branches, in line with the majority of customers towards digital services without the need to come to the branch.
Analysts expect the banking and financial sector to reduce costs by 10-15% during the coming period as a result of the effects of Covid-19.
