Abu Dhabi investment firm to form digital bank with $545m capital

Abu Dhabi investment firm ADQ plans to set up a digital bank with an initial capital of Dhs2bn ($545m) after obtaining the legacy licence of First Gulf Bank.

First Abu Dhabi Bank, formed with the merger of First Gulf Bank and National Bank of Abu Dhabi, said on Tuesday its shareholders approved the transfer of the licence to ADQ.

First Abu Dhabi Bank, the United Arab Emirates’ largest lender, will own 10 per cent of the digital bank, and will have preferential access to an additional 10 per cent when it goes public.

ADQ is a holding company for some of the biggest assets in the UAE, including the Abu Dhabi Securities Exchange and Abu Dhabi Airports.

The company on Monday said it’ll partner with LuLu Group International, which runs one of the Middle East’s largest hypermarket chains, by investing $1bn to back the grocer’s expansion in Egypt.

Read: Abu Dhabi’s ADQ partners with Lulu International Holdings for Egypt expansion