Dubai Financial is buying the stake from Dubai-based private equity firm Abraaj Capital. The deal makes Dubai Financial the largest shareholder in EFG-Hermes.
Abraaj had bought its shareholding in mid-2006 for $505m.
Dubai Financial is the financial investment arm of Dubai Holding and owns stakes in Greece’s Marfin Popular Bank, Bahrain’s Taib Bank, BankMuscat, Kuwait’s Global Investment House and Dubai Bank.