Tuesday 30, January 2018 by Nabilah Annuar

Emirates NBD to potentially acquire stake in Denizbank

UAE lender in preliminary discussions with Sberbank to acquire the latter’s 75 per cent stake in the Turkish bank.

Emirates NBD Bank (Emirates NBD) in a statement revealed that it has commenced initial strategic discussions with Sberbank of Russia (Sberbank) regarding Denizbank A.Ş. (Denizbank), including the possibility of Emirates NBD acquiring Sberbank's existing shareholding in Denizbank.

Discussions are at a very preliminary stage and there is no certainty that any transaction will take place.  A further announcement will only be made if there is a material development.

DenizBank was founded in 1938 as a state-owned bank to provide funding for the developing Turkish maritime sector. Acquired by Zorlu Holding from the privatisation Administration as a banking licence in early 1997, DenizBank was later acquired in 2006 by Dexia Group, a Franco-Belgian financial institution. Dexia purchased a 75 per cent stake for $2.44 billion from Zorlu Holding with the remaining 25 per cent of the shares held publicly.

Later in 2011, Dexia announced that DenizBank will be put up for sale and was later acquired in 2012 by Sberbank for $3.6 billion. Sberbank’s major shareholder is the Central Bank of Russia, which owns 50 per cent of the bank’s share capital plus one voting share, while the remaining shareholder base is represented by a wide range of international and domestic investors.

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