NCB, Emirates NBD among Gulf lenders with exposure to Turkish banks

14/08/2018 Argaam

 

Four GCC-listed banks holding investments in Turkish banks are exposed to losses from the depreciation of the lira.

 

Saudi Arabia’s National Commercial Bank (NCB) acquired a 67.03 percent stake in Türkiye Finans Katılım Bankası for $1.08 billion in 2007. Türkiye Finans has total assets of $5.6 billion.

 

Dubai’s biggest lender, Emirates NBD, is finalizing a deal to acquire Denizbank from Russia’s state-owned Sberbank for $3.2 billion. This figure might be reduced to $2.27 billion after the lira’s plunge.

 

The deal is expected to be completed this year bringing DFM-listed Emirates NBD’s stake in the Turkish bank to 99.85 percent.

 

Turkey-listed Denizbank has total assets of $23 billion, market value of $2.1 billion and realized losses of $160 million as of market closing on Aug. 13.

 

The National Bank of Kuwait (NBK) took over 34.3 percent Kuveyt Turk Bank in 2007 for $160 million. Kuveyt Turk has a total assets value of $ 230 million and is not a listed bank.

 

Meanwhile, Qatar National Bank (QNB) owns 99.88 percent of Finansbank, which is Turkey’s fifth-largest privately owned bank by assets.

Comments {{getCommentCount()}}

Be the first to comment

loader Train
Sorry: the validity period has ended to comment on this news
Opinions expressed in the comments section do not reflect the views of Argaam. Abusive comments of any kind will be removed. Political or religious commentary will not be tolerated.