Following approval from the Securities and Commodities Authority (SCA), Dubai Islamic Bank PJSC (DIB) has published its formal offer for the shares in Tamweel PJSC it does not currently own. DIB is the majority shareholder in Tamweel with 58.2 per cent of the issued equity. This bid, which was announced on January 3, 2013, is based on the offer of 10 new DIB shares for 18 existing Tamweel shares held. The fair value of each share for DIB and Tamweel underlying the intended swap is set at AED 2.25 and AED 1.25 respectively.
Tamweel PJSC shareholders will receive a copy of the Offer, the Offer Statement and the Acceptance Form by mail. In order to participate in the offer, qualifying shareholders have to submit acceptance forms directly to an appointed broker or custodian. Acceptance forms for shareholders without any broker or custodian relationship will be accepted at the DIB head office, if delivered by hand and accompanied by valid proof of identification. The offer will remain open until 5pm on Saturday, March 16, 2013.
Dr. Adnan Chilwan, Deputy Chief Executive Officer of Dubai Islamic Bank, said: “With the necessary regulatory approvals now in place, Dubai Islamic Bank is ready to move forward with the next stage of its bid for Tamweel. This move reflects DIB’s commitment to supporting the UAE economy in general and the resurgent home finance sector in particular. We believe this offer is in the best interests of the shareholders, customers and stakeholders of both DIB and Tamweel.”
DIB’s offer is subject to final approval from its shareholders and will be presented to them at an Extraordinary General Meeting to be held on March 3, 2013.