Emirates Islamic Bank may buy Dubai Bank, Amlak - report

by This email address is being protected from spam bots, you need Javascript enabled to view it on Sunday, 03 October 2010

Emirates Islamic Bank, an affiliate of Emirates NBD, is in talks to acquire Dubai Bank and follow it up with a purchase of troubled Islamic lender Amlak, according to a newspaper report on Sunday.

Arabic language daily Al Ittihad, citing an unnamed industry source, said the talks are at an initial stage.

Last week, Amlak's long-touted plan to merge with rival Islamic lender Tamweel was scuppered after Dubai Islamic Bank raised its stake in Tamweel.

The two firms have not traded since November 2008 when the United Arab Emirates government stepped in to restructure them.

Related: Dubai Islamic Bank ups stake in Tamweel to 57.33%

Related: Dubai ruler says ‘We are back’ after debt accord

Related: Expat Powerlist 2010

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Dubai Bank is part of Dubai Group, itself a unit of Dubai Holding which is owned by the ruler of Dubai. (Reuters)

READERS' COMMENTS

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Dubai Man
Posted by Original Joe, Dubai, UAE on Sunday 3 October 2010 at 13:35 UAE time

I am not quite in the situation of Dubai Man but my Abu Dhabi property in Al Reef Downtown should be worth at least slightly more than the original price I paid in 2006 once completed. Even if its not I put down a healthy down payment so a rental would pay my mortgage and allow a bit left over every month. Not all the properties on Amlak's books are losers and under water on equity.

time will tell
Posted by dubai man, dubai, UAE on Sunday 3 October 2010 at 13:19 UAE time

dear John , actually i am refereing to market price Only , it's all on demand and availibility of funds , the reality i owe them less than a million and it's worth around 3 as of last month , all bank will try to make money and i forget about the stocks m i am only talking about the customer , i had no issue with them , just pay on a monthly basis even my rate was reduced . so it all about prespective .

Worth what someone will pay for it
Posted by John, London, UK on Sunday 3 October 2010 at 13:09 UAE time

Sadly, Dubai Man, your house is only worth what someone will pay for it, so don't kid yourself about its value. But since you were in early, Amlak is lucky to have a loyal customer. They have treated their clients badly, with a lack of transparency.

Be Real
Posted by dubai man, dubai, UAE on Sunday 3 October 2010 at 12:19 UAE time

i am a customer of Amlak from day one , and my house now is worth 5 times what i owe them , adn there are a lot of customers liek me , i agree there are some inflated house prices , but not to that extent , i would bay 75 cent on the dollor , since remeber they have not given a loan for around 2 yeras now and majority have been paying , so it's agood buy , also there are more than money at stake here.

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