Looks like it's not Absolutely FABulous for EFG Hermes. News has broken that First Abu Dhabi Bank has had a change of heart and withdrawn its offer for Egypt’s EFG Hermes. FAB agreed on a non-binding offer in February to buy at least 51% of EFG Hermes, valuing Egypt's biggest investment bank at nearly $1.2b.
In a statement to the Abu Dhabi securities exchange, where FAB shares are exchanged, it stated that "after careful consideration and in the context of ongoing global market uncertainty and volatile macroeconomic conditions, First Abu Dhabi Bank has decided to withdraw its non-binding offer submitted on 9 February 2022”.
Why it matters
Economic uncertainties are sending jitters across all global economies. It comes on the back of the IMF, which lowered its global economic growth forecast for this year as supply chain disruptions continue to boost inflation amid higher energy prices and the coronavirus pandemic.
