Dubai International buys 2.87 pc stake in ICICI Bank

Dubai, July 13: Dubai International Capital (DIC), the investment arm of Dubai Holding, has announced that it has bought a 2.87 per cent stake in India's second largest bank ICICI.

The investment in ICICI Bank, which has assets of 79 billion dollars at the end of March 31, 2007 would allow DIC to become one of the leading shareholders in the company, it said in a statement yesterday.

DIC did not disclose the value of its investment, but reports suggested that the Dubai firm might have paid 717 million dollar for the stake acquired through the American Depository Receipts (ADR) issue open to foreign investors.

However, at yesterdays's closing share price DIC's stake would be worth 741.5 million dollars.

''The strategic investment in ICICI supports the global diversification and growth mandate for DIC and its parent company, Dubai Holding,'' DIC Chief Executive Officer Sameer Al Ansari said.

DIC's investment in the Indian bank follows its recent purchase of 3.12 per cent of European Aeronautic Defence and Space Company EADS, the parent company of aircraft manufacturer Airbus.

UNI