Shareholders of Dubai Islamic Bank have agreed to increase the foreign ownership limit in the bank from 25 percent to 40 percent, according to media reports.
It is, however, subject to corporate and regulatory approval.
The decision to increase the foreign ownership limit in Dubai Islamic Bank was taken to attract more foreign funds into the bank.
The idea to increase foreign ownership in Dubai Islamic Bank was proposed by its shareholders last year.
The board also approved the dividend pay-out of 35 fils per share.
Mohammed Ibrahim Al Shaibani, Chairman of Dubai Islamic Bank told the media, “2019 has been yet another record-breaking year for the bank as we continue our profitable expansion in both local and international markets.”
“In the last decade, the UAE has witnessed significant regulatory advances aimed at aiding economic progress, including higher investment flows and rising visitor numbers. As we look towards the future of the nation, we remain aligned with Dubai and the UAE’s plans to create a diversified economy and a global hub for Islamic finance.”
In the month of November 2019, the board of Dubai Islamic Bank has approved a share-swap deal with Noor Bank. According to the deal, Dubai Islamic Bank swapped one share with 5.49 shares in Noor Bank through the issuance of 651,159,198 new Dubai Islamic Bank shares.
The deal saw Dubai Islamic Bank acquire 99.99 percent of shares of Noor Bank from Noor Investment Group and Emirates Investment Authority.
Last year, First Abu Dhabi Bank too proposed a similar change in foreign ownership. Other banks to do so in the region include Emirates NBD and Abu Dhabi Islamic Bank.