By Staff writer
Dubai Holding unit completes sale of stake in Egyptian investment banking giant
Dubai Holding unit Dubai Financial Group has said it has sold its 11.8 percent stake in Egyptian investment bank EFG-Hermes to Natixis.
“The sale of our stake in EFG Hermes is consistent with the business plan for Dubai Group, which was agreed with its lenders as part of the restructuring agreement,” Fadel Al Ali, the chairman of Dubai Group, said in a press statement.
No value for the stake was disclosed. However, based on the bank’s current market capitalisation, the stake would be worth $108 million.
Dubai Financial Group is a subsidiary of Dubai Group, which is itself a subsidiary of government-owned Dubai Holding.
The firm reached a $10 billion restructuring deal with its creditors two years ago, after missing debt payments during the global financial crisis.
Another Dubai Group unit, Dubai Banking Group, sold off a 48.3 percent stake in Shuaa Capital to Abu Dhabi Financial Group (ADFG) in June.