Dubai's Shuaa moving HQ to Abu Dhabi -sources
DUBAI, April 12 Dubai-listed investment bank Shuaa Capital plans to move its headquarters to Abu Dhabi, sources told Reuters on Thursday.
Shuaa, which has been based in the Emirates Towers for more than 10 years, is set to move to Abu Dhabi Global Market (ADGM), according to two sources familiar with the matter who spoke on condition of anonymity as the matter is not public.
The move comes as Shuaa Capital's major shareholder Abu Dhabi Financial Group (ADFG) seeks to reduce costs for the investment bank, consolidate the bank with its affiliates, and win mandates in Abu Dhabi, the sources said.
Shuaa Capital declined to comment when contacted by Reuters on Thursday.
The Emirates Towers houses the offices of Dubai's executive offices of the emirate's ruler, Sheikh Mohammed bin Rashid al-Maktoum, and of Dubai Group, whose subsidiary sold its 48.4 percent stake in Shuaa to ADFG in June 2016.
ADGM is located in the neighbouring emirate's new financial free-zone on Al Maryah Island.
Shuaa's staff have been informed that they will have to move to the company’s new premises by August, one of the sources said.
Staff levels at its offices in the Emirates Towers and DIFC are expected to be reduced, the sources said, and shareholder ADFG is also expected to move to ADGM, the source added.
Shareholders also plan to consolidate Shuaa with Abu Dhabi investment firms Integrated Capital and Integrated Securities, the source added.
The two companies are set to be acquired by Shuaa, according to a filing on March 12, pending due diligence and regulatory approval.
Last month Bahrain's GFH Financial Group said it may merge with Shuaa. (Editing by Jason Neely)