Dubai Islamic Bank to fully acquire Tamweel

Updated 03 January 2013
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Dubai Islamic Bank to fully acquire Tamweel

DUBAI: Dubai Islamic Bank said its board had approved plans to fully acquire its mortgage unit Tamweel, in which it already holds a majority stake of 58.2 percent.
Dubai’s largest Shariah-compliant lender intends to make a tender offer to buy all shares off Tamweel’s other shareholders, it said in an e-mailed statement.
Each Tamweel shareholder will be offered 10 DIB shares for every 18 Tamweel shares. After closing the offer, DIB will apply to the regulator to delist Tamweel from the Dubai Financial Market.
DIB took a 57.33 percent stake in Tamweel in 2010, a move that rescued the mortgage lender, which was struggling during a crash of Dubai’s property market.
Tamweel’s current market value is about AED1.19 billion ($ 323 million). DIB said it would seek shareholder approval to issue new shares; no date for the shareholder meeting was provided.
Before the announcement, shares of Tamweel ended 2.5 percent lower while DIB was up 1.5 percent.
The mortgage firm is expected to be among the companies most affected by a new UUAE central bank regulation, introduced this week, to cap the size of mortgage loans for foreigners and local citizens.


Airbus warns could leave Britain if no Brexit deal

Updated 22 June 2018
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Airbus warns could leave Britain if no Brexit deal

  • Industry analysts say Airbus would be unlikely to pull out of the UK abruptly because of long lead times and waiting lists for its planes
  • Airbus, which makes wings for all its passenger jets in the UK, said that leaving both the EU’s single market and customs union immediately

PARIS: European aviation giant Airbus warned Thursday it could be forced to pull out of the UK if Britain leaves the European Union without a deal.
In a Brexit risk assessment, Airbus said Britain withdrawing from the EU without a deal “would lead to severe disruption and interruption of UK production.”
“This scenario would force Airbus to reconsider its investments in the UK, and its long-term footprint in the country, severely undermining UK efforts to keep a competitive and innovative aerospace industry, developing high value jobs and competences,” it warned.
“Put simply, a no deal scenario directly threatens Airbus’ future in the UK,” Tom Williams, chief operating officer of Airbus Commercial Aircraft, said in a statement.
In its risk assessment, Airbus said under a “no deal” scenario, delays and disruptions to its production could cost it up to one billion euros ($1.2 billion) a week in lost turnover.
It said a no-deal Brexit “would be catastrophic” for the aviation group.
Airbus employs 14,000 people at more than 25 sites in Britain, where it manufactures the wings of its aircraft.
“In any scenario, Brexit has severe negative consequences for the UK aerospace industry and Airbus in particular,” Williams said.
“While Airbus understands that the political process must go on, as a responsible business we require immediate details on the pragmatic steps that should be taken to operate competitively,” he said.
“Without these, Airbus believes that the impacts on our UK operations could be significant. We have sought to highlight our concerns over the past 12 months, without success.”
On the future trade relationship between Britain and the EU, Airbus said the current transition period, which runs until December 2020, “is too short for the EU and UK Governments to agree the outstanding issues, and too short for Airbus to implement the required changes with its extensive supply chain.”
“In this scenario, Airbus would carefully monitor any new investments in the UK and refrain from extending the UK suppliers/partners base.”
Britain is due to leave the European Union in March 2019 but continue the current trading arrangements during the transition phase to December 2020 to give time for the two sides to agree the terms of a new partnership.