First Abu Dhabi Bank (FAB) investor relations material

Strategic position and rights issue

• FY25 total assets AED 1.4tn, net profit AED 21.1bn and RoTE 19.2%; assets rose 50% and RoTE 6.2 percentage points since 2020.

• Cash dividends totaled AED 44bn in 2020–2025, 19% of total ADX dividends; credit ratings are Aa3/AA-/AA-.

• Proposed pro-rata rights issue of up to AED 15bn at AED 13.52 per share, a 30% discount to the Nov. 10, 2026 closing price; indicative entitlement is 1 new share per 9.958 existing shares.

• Proceeds would fund organic growth; expected CET1 uplift is ~190 bps, supporting Group CET1 above 14% pre-dividend. Mubadala, holding 37.9%, intends to subscribe for its full pro-rata entitlement.

• Shareholder approval is sought Dec. 7, 2026, with completion expected in Q1 2027, subject to approvals; M&A is not the primary driver of the raise.

Growth opportunities and competitive position

• Regional tailwinds include a ~$2.1tn GCC investment cycle and more than AED 2.6tn in announced or committed UAE projects through 2030; global trade is projected to exceed $100tn by 2030, with global data-centre capex projected at $6.7tn.

• UAE real GDP growth is expected to average ~5% over 2026–2031, with a strong snapback anticipated in 2027; opportunities span financing, capital markets, transaction banking, wealth and cross-border activity.

• Priorities include investment and corporate banking, consumer and SME, asset and wealth management, international corridors, technology, digital, data and AI, plus ventures such as digital assets and tokenisation; ~60% of deployment is expected in corporate and investment banking, 20%–30% in retail and SME, with the balance in wealth.

• Growth builds on existing franchise strengths without changing business mix or risk appetite; scale, AA- credit strength, sovereign and client access, structuring capability and a network spanning more than 20 markets support opportunity capture.

• Ranked #1 in MENA LCM and #1 GCC bank in DCM and ECM league tables for FY20–FY25; DCM volume was $33.5bn across 189 deals.

Medium-term financial framework

• For 2026–2031, targets annual loan and revenue growth of 10%–15% and RoTE above 17% through the cycle, raised from previous guidance above 16%.

• Targets more than AED 50bn of cumulative dividends across 2026–2031; the floor covers six annual dividends, with potential upside.

• Targets cost of risk below 70 bps through the cycle and Group CET1 above 14% pre-dividend, while maintaining AA- credit strength, diversified funding and liquidity, asset quality and robust risk controls.

• RoTE ambition reflects improved capital efficiency, a more fee-oriented model and capital-light businesses; loan and revenue growth assumptions link to GDP, with upside from stronger growth or business mix.