The UAE’s capital markets regulator, the Securities and Commodities Authority (Sca), has issued the final certificate concluding the merger of National Bank of Abu Dhabi (NBAD) with rival First Gulf Bank (FGB).

The deal became effective at the close of trading on 30 March, according to a joint statement of both lenders, posted on the website of the Abu Dhabi Securities Exchange, where the shares of the combine entity will traded under NBAD.

The merger certificate from the regulator approved the increase in the share capital of NBAD and the amendments to its articles of association, the dissolution of FGB and the transfer of its rights and assets – including movable and immovable assets, real estate, shares in companies, debt issuance and sukuk programmes and all trade names and trademarks – and liabilities to NBAD from the effective date.

Reflecting the new bank’s roots and experience in the region, its board has announced that the merged entity will be named First Abu Dhabi Bank, after attaining regulatory approvals and following the General Assembly Meeting that will be held at a later stage to approve the name. 

In July, the boards of the two banks voted to merge the two financial giants and recommend the deal to respective shareholders, who in December, approved it. The merger transaction, backed by Abu Dhabi government, has created one of the top financial institution in the Middle East and North Africa region with $180bn in by assets, which analysts say, will enable the merged entity to better compete at global level.

New 5.643 billion ordinary shares of NBAD have been already issued to those shareholders of FGB who appeared on the share register of FGB immediately before the effective date. The number of outstanding NBAD ordinary shares following the capital increase have reached more than 10,89 billion.

FGB, according to the statement, has been dissolved and its assets and liabilities have been transferred to NBAD. The new NBAD ordinary shares have been also been listed and admitted for trading on ADX. They were 1.5 per cent lower at AED10.10 per share during early trading.