(Adds details, context)
DUBAI, July 24 United Arab Emirates-based
National Bank of Ras Al Khaimah said on Thursday it
was looking to acquire a majority stake in a listed insurance
company in the emirate, a rare example of a takeover attempt
involving two public UAE firms.
RAKBANK, the sixth-largest lender by market value on the Abu
Dhabi bourse, is in talks to acquire Ras Al Khaimah National
Insurance Co, it said in a bourse filing. The
government of Ras Al Khaimah owns about 50 percent of each
The lender is discussing details and the mechanism of the
deal with the UAE markets regulator as well as the Abu Dhabi
securities exchange, it said.
RAKBANK, which also offers insurance services, may look to
consolidate the operations upon acquiring one of the UAE's
oldest insurance companies. Ras Al Khaimah National Insurance
saw its profit rise 27 percent from a year earlier to 20.59
million dirhams ($5.6 million) in the first quarter.
There have been only a few mergers in the UAE of publicly
listed firms; the most recent one was of real estate developers
Aldar Properties and Sorouh Real Estate in mid-2013.
Details on the impact of the acquisition on financials will
be disclosed later, RAKBANK said.
(Reporting by Nadia Saleem; Editing by David French and Andrew