Nasser Al Sayer, chairman of NBK
NBK to sell IBQ stake to Qatari investors for $538m
KUWAIT, 1 days ago
National Bank of Kuwait (NBK) has agreed to sell its 30 per cent stake in its Qatari associate, International Bank of Qatar (IBQ), to Qatari investors in a transaction worth $538 million (KD155 million), at a $87 million profit.
Nasser Al Sayer, chairman, highlighted that this transaction is in line with NBK’s strategy of owning and managing controlling stakes in entities in the Middle East and North Africa (Mena) region with more focus on GCC markets.
“We have decided to exit this partnership as we saw limited opportunity to increase our 30 per cent ownership in IBQ to a controlling stake. This sale will also strengthen our capital position to pursue our regional expansion strategy and benefit from any opportunity in Qatar or any of the other GCC markets,” said Al Sayer.
“NBK’s investment in IBQ has been very successful, lasting more than 10 years and now we are exiting at an attractive price and after achieving excellent returns over the years. We have been operating in the Qatari market for years and benefited from a decade of strong economic growth.
“The Qatari market will continue to be an important market for us as we remain focused on GCC expansions but the emphasis is on having controlling stakes.”
NBK acquired a 20 per cent stake in IBQ in 2004 and increased its stake to 30 per cent in 2007 and has been managing the bank. – TradeArabia News Service
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