First Gulf Bank
{{Short description|Emirati bank}}
{{Infobox company
|name = First Gulf Bank PJSC
|logo = FGB's new logo.jpeg
|type = Public
|traded_as = {{ADSM|FGB}}
|foundation = 1979
| defunct = 2016
| successor = First Abu Dhabi Bank
|num_employees = 2,000
|industry = Financial services
|products = Wholesale banking
Consumer Banking
Treasury and investments
|homepage = {{url|http://www.fgb.ae/}}
}}
FGB (formerly known as First Gulf Bank) was the third largest bank by assets in the United Arab Emirates (UAE),[https://www.reuters.com/article/firstgulfbank-sukuk-idUSL3N0M32B420140306 First Gulf Bank to set up $1.07 billion sukuk in Malaysia]: Reuters, March 6, 2014 until it merged with the National Bank of Abu Dhabi in December 2016 to form First Abu Dhabi Bank, creating the largest bank by assets in the UAE.{{cite web|title=About the Merger|url=https://www.bankfortheuae.com/en/about-the-transaction/|access-date=2018-04-30|archive-date=2017-09-05|archive-url=https://web.archive.org/web/20170905185832/https://www.bankfortheuae.com/en/about-the-transaction/|url-status=dead}} Established in 1979, FGB is headquartered in the Emirate of Abu Dhabi. FGB offers a wide range of financial services in the wholesale, consumer, and treasury banking sectors, including Islamic banking and bancassurance solutions for businesses and consumers via a network of branches across the UAE. Internationally, FGB has a branch in Singapore - that includes global wealth management services and a branch in Qatar, representative offices in London, India, Hong Kong, and Seoul, South Korea, and a subsidiary in Libya.
In 2013, the bank restructured its business into three divisions: the Wholesale Banking Group, the Consumer Banking Group, and the Treasury & Global Markets Group. In the same year, FGB also announced that it had acquired full ownership of Shariah-compliant finance company Aseel Islamic Finance[http://www.thenational.ae/business/industry-insights/finance/first-gulf-bank-taps-rising-demand-for-sharia-finance-with-purchase-of-aseel First Gulf Bank taps rising demand for Sharia finance with purchase of Aseel]: The National, October 26, 2013 and consumer finance firm Dubai First.[http://gulfnews.com/business/banking/first-gulf-bank-completes-acquisition-of-dubai-first-1.1252107 First Gulf Bank completes acquisition of Dubai First]: Gulf News, November 6, 2013
In December 2016, shareholders approved the bank's plans to merge with the National Bank of Abu Dhabi (NBAD)[http://gulfnews.com/business/sectors/banking/shareholders-of-nbad-fgb-approve-merger-1.1941936 Shareholders of NBAD, FGB approve merger]:Gulf News, December 7, 2016 and both banks finalized the second-tier management by February 2017.[http://www.emirates247.com/business/economy-finance/ahead-of-merger-uae-banks-nbad-fgb-finalise-second-tier-management-2017-02-07-1.647762 Ahead of merger, UAE banks NBAD, FGB finalise second-tier management]:Emirates 24|7, February 7, 2017 The plan to merge the banks, which was first announced in June 2016, will be executed through a share swap, with FGB shareholders receiving 1.254 NBAD shares for each FGB share they hold. The merged entity is now known as First Abu Dhabi Bank.{{Cite news|url=https://www.nbad.com/en-ae/about-nbad/overview/newsroom/2017/fgb-and-nbad-successful-merging.html|title=FGB and NBAD have Successfully Merged|access-date=2017-09-05|language=en-AE|archive-date=2017-09-05|archive-url=https://web.archive.org/web/20170905144519/https://www.nbad.com/en-ae/about-nbad/overview/newsroom/2017/fgb-and-nbad-successful-merging.html|url-status=dead}}{{Cite web |date=2017-08-30 |title=أكبر مصرف بالمنطقة بعد دمج "أبوظبي الوطني" و"الخليج الأول" |url=https://al-ain.com/article/abu-dhabi-national-lists-new-shares-merger |access-date=2024-01-19 |archive-url=https://web.archive.org/web/20170830225235/https://al-ain.com/article/abu-dhabi-national-lists-new-shares-merger |archive-date=2017-08-30 }}
Growth and successes
FGB had Shareholder Equity of AED 34.1 billion as of December 31, 2014,[http://www.zawya.com/story/FGB_2014_Net_Profit_at_AED_566_Billion_up_18_from_2013-ZAWYA20150128133233/ FGB 2014 Net Profit at AED 5.66 Billion, up 18% from 2013]: Zawya, January 28, 2015 making it one of the largest equity based banks in the UAE.
FGB reported a total net profit of AED 5.66 billion in 2014, which represents an 18% increase when compared with AED 4.77 billion achieved in 2013.[http://www.thenational.ae/business/banking/record-profit-for-big-abu-dhabi-banks Record profit for big Abu Dhabi banks]: The National, January 28, 2015 2014 also marked the 15th consecutive year of uninterrupted net profit growth for the bank. {{Citation needed|date=October 2015}}
The bank’s consistent performance led to a Financial Strength Rating of 'A+' from Capital Intelligence in 2014.[http://www.ciratings.com/news/2014/06/25/1416 First Gulf Bank - Ratings Affirmed with Stable Outlooks]: Capital Intelligence, June 25, 2014
In 2013, RAM Ratings provided the bank with an AAA grade,[http://www.ram.com.my/pressReleaseView.aspx?ID=fc9688bc-a391-4635-8c1b-e2365a1f9a93 RAM Ratings assigns AAA/Stable/P1 ratings to First Gulf Bank, the UAE’s third-largest bank]: RAM Ratings, March 6, 2014 and FGB’s Long Term Rating was affirmed at A+ by Fitch.[https://www.reuters.com/article/fitch-affirms-first-gulf-bank-at-a-outlo-idUSFit65403520130408 RPT-Fitch Affirms First Gulf Bank at 'A+'; Outlook Stable; Upgrades VR to 'bbb']: Reuters, April 8, 2013
Forbes Middle East ranked FGB as the 8th-most powerful company and 4th leading bank in its 2014 ‘Top 500 Companies in the Arab World’ list.[http://ameinfo.com/blog/banking/fgb-ranked-top-10-companies-named-4th-leading-bank-arab-world-forbes-middle-east/ FGB ranked in top 10 companies and named 4th leading bank in the Arab world by Forbes Middle East] {{Webarchive|url=https://web.archive.org/web/20140815101147/http://ameinfo.com/blog/banking/fgb-ranked-top-10-companies-named-4th-leading-bank-arab-world-forbes-middle-east/ |date=2014-08-15 }}: AME Info, June 19, 2014 FGB was also named the ‘Best Bank in the United Arab Emirates’ and ‘Best Wealth Management Firm’ at the Banker Middle East Industry Awards 2014.[https://www.zawya.com/story/FGB_named_Best_Bank_in_United_Arab_Emirates_and_Best_Wealth_Management_firm-ZAWYA20140604101745/ FGB named 'Best Bank in United Arab Emirates' and 'Best Wealth Management firm']: Zawya, June 4, 2014
International activities
Throughout 2014, FGB enhanced its presence in the Asia Pacific market with the launch of a new representative office in South Korea [http://gulfnews.com/business/banking/fgb-begins-operations-in-seoul-1.1359867 FGB begins operations in Seoul]: Gulf News, July 14, 2014 and a Global Wealth Management service at its Singapore branch.[http://gulfnews.com/business/banking/fgb-launches-global-wealth-management-service-in-singapore-1.1328404 FGB launches Global Wealth Management service in Singapore]: Gulf News, May 5, 2014 The bank also opened a new representative office in London and has announced plans to open a new office in China in the future.[http://gulfnews.com/business/banking/fgb-s-wholesale-group-to-take-part-in-deals-worth-15b-1.1286564 FGB’s wholesale group to take part in deals worth $15b]: Gulf News, February 4, 2014
FGB’s other international activities in 2014 include the conclusion of a Negotiable Certificate of Deposit (NCD) programme via its Singapore branch [http://gulftoday.ae/portal/229df30b-56df-4200-9596-a7e601774eb9.aspx FGB sets up $1b Singapore programme to fund Asian expansion] {{Webarchive|url=https://web.archive.org/web/20160304095853/http://gulftoday.ae/portal/229df30b-56df-4200-9596-a7e601774eb9.aspx |date=2016-03-04 }}: Gulf Today, April 16, 2014 and the issuance of the bank’s debut 250 million Australian dollars (USD 228.35 million) ‘Kangaroo’ 5-year bond.[https://www.bloomberg.com/news/2014-03-24/first-gulf-bank-follows-nbad-with-middle-eastern-kangaroo-bond.html First Gulf Bank Follows NBAD With Middle Eastern Kangaroo Bond]: Bloomberg, March 24, 2014 FGB has also received approval for a Sukuk issuance in Malaysia [http://gulftoday.ae/portal/fdc44d7e-b3dc-4c7c-9773-13c72878fd10.aspx FGB to set up $1.07b sukuk in Malaysia] {{Webarchive|url=https://web.archive.org/web/20160304121647/http://gulftoday.ae/portal/fdc44d7e-b3dc-4c7c-9773-13c72878fd10.aspx |date=2016-03-04 }}: Gulf Today, March 7, 2014 and became the first MENA issuer in the Tokyo Pro-Bond Market, selling a debut 10 billion yen (USD 98.2 million) bond.[http://www.wam.ae/en/news/economics/1395267118917.html FGB concludes 5-year bond on new Tokyo Pro-Bond Market]: WAM, June 26, 2014
New brand
In April 2014, FGB, formerly known as First Gulf Bank, unveiled its current logo after announcing a shift in the bank’s corporate identity.[http://www.thenational.ae/business/industry-insights/finance/new-name-and-growth-focus-for-first-gulf-bank New name and growth focus for First Gulf Bank]: The National, April 20, 2014 As part of the rebrand, the bank adopted the acronym, ‘FGB’, which was already widely used by its stakeholders. FGB remains First Gulf Bank in Arabic however, and no changes have been made to the bank as a legal entity.
FGB announced to the media that the rebrand was part of a long-term strategy to grow the bank locally and internationally, and reflects its UAE and Abu Dhabi heritage, commitment to Emirati development, and aspirations and ambitions for further success and growth in the future.{{Citation needed|date=October 2015}}
Sponsorships
FGB is a sponsor of Ferrari World Abu Dhabi (FWAD), the largest indoor and the only Ferrari-branded theme park in the world. FGB sponsors the Junior GT ride at FWAD, which is part of its driving school where children receive their first training about road safety and discipline and learn about the essential rules they will need to abide by once they start driving.
The bank also sponsors the Al Ain Sports & Cultural Club and in 2014, launched the ‘FGB Arena’,[http://www.albawaba.com/business/pr/fgb-arena-abu-dhabi--552248 Inaugurating the ‘FGB Arena’ in Abu Dhabi]: AlBawaba, February 4, 2014 which is located in Zayed Sports City, Abu Dhabi. The ‘FGB Arena’ is home to a range of regular programmes, from sports and music events to conferences and exhibitions. Managed by an operator in co-operation with FGB, the venue can accommodate up to 6,000 spectators.
External links
{{Portal|Banks}}
- [http://www.fgb.ae/en Official website] {{Webarchive|url=https://web.archive.org/web/20140821095850/http://www.fgb.ae/en/ |date=2014-08-21 }}