ADCB completes integration following three-way bank merger
The organisation finalised the process in half the time originally planned
Abu Dhabi Commercial Bank said on Tuesday the integration process following its three-way merger with Union National Bank and Al Hilal Bank formalised in May last year is now complete, ahead of schedule.
The organisation said the integration process took just 11 months – less than half the time originally planned.
“Over the last year we have been engaged in detailed planning and testing to ensure the smooth execution of consecutive phases of integration, with minimal disruption to our customers. This was an enormously demanding task, involving more than 100 systems and hundreds of processes," said the bank's acting group chief operations officer, Mohammed Al Jayyash.
"The need for our teams to work remotely across several locations in recent weeks required even greater coordination and focus," he added.
The enlarged organisation has more than a million customers and total assets of Dh405bn as at December 31, 2019. It declared a profit of Dh4.79bn on operating income of Dh11.7bn in 2019. It is the third-biggest bank in the UAE with a 13 per cent market share, and is the fifth-biggest lender in the Gulf. It has a network of 72 branches and more that 450 ATMs across the country.
The merger work involved unified treasury functions and a new organisation structure being put in place within weeks of the deal's completion and a unified brand being rolled out after five months.
The merger has already led to greater-than-expected efficiencies, with the bank increasing its synergy target by 37 per cent to Dh840 million in the fourth quarter of last year, said group chief executive Ala’a Eraiqat.
"The result of our successful integration is the creation of a fully unified banking group that is resilient in the face of macro-economic challenges,” he added.
ADCB Group is 60.2 per cent owned by the Government of Abu Dhabi through the Abu Dhabi Investment Council.
Updated: April 7, 2020 08:49 PM