Abu Dhabi Banks Said in Talks to Create 5th Biggest Gulf Lender

Abu Dhabi is exploring a potential merger between three of its banks that would create a lender with about $110 billion of assets, according to people with knowledge of matter.

Discussions to combine Abu Dhabi Commercial Bank PJSC, Union National Bank PJSC and privately-held Al Hilal Bank are underway but no decision has been made, the people said, asking not to be identified because the talks are private. If successful, a deal could be announced as early as this month, two of the people said.

The potential merger would create the fifth-largest bank in the Gulf Cooperation Council, according ...