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FAB’s Yapi Kredi takeover hits a dead end: First Abu Dhabi Bank (FAB) will no longer be acquiring a stake in Turkey’s fourth-biggest private bank, Yapi Kredi, after Turkish industrial conglomerate Koc Holding terminated takeover discussions with the Emirati lender, stating that they “have not resulted in a conclusion,” Koc Holding said in a disclosure without mentioning FAB as the bidder. The talks reportedly fell through on the back of disagreements over pricing, Bloomberg reported earlier.
Background: FAB was thought to be on the verge of finalizing the talks to take a 61.2% stake in Yapi Kredi. Koc was reportedly seeking a higher price than what FAB was willing to offer, preventing the UAE’s biggest lender — which had been eyeing the stake since April — from conducting due diligence on the stake, according to Bloomberg.
FAB has been trying for a couple of years now to make a big move outside the UAE: The bank was weighing an offer of USD 35 bn for Standard Chartered last year and was trying to buy Egypt’s EFG Hermes in 2022. Both transactions fell through.
Market reax: Following the announcement, Yapi Kredi’s shares fell 5.6% to TRY 32.3 at Friday’s close, their lowest level since May 15, Bloomberg said.
