Monday, 16 June 2008

National Bank of Abu Dhabi

The lack of information in frontier markets can and oten does lead to some pretty wild speculation. For example, National Bank of Abu Dhabi has just denied reports that it was considering merger with Bahrain's Ahli United Bank.

In a statement, the bank said it "currently is not a part in any negotiations or talks with any bank or financial institution in the region for merger or acquisition." The false rumours pushed up the price of Ahli United Bank last week. We see the denial as a responsible and transparent move to protect its stakeholders' interests. It also means we know a little bit more about its consolidation plans (ie none).

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