RBS shares rise as Abu Dhabi mulls buying stake

 
City A.M. Reporter
Talks between Abu Dhabi and the British government over a stake in state-owned Royal Bank of Scotland are at the level of the Abu Dhabi ruling family, a source close to the ruling family said.

It is too early to say whether a deal will come through, the source told Reuters.

But RBS was the top riser on the FTSE 100, up five per cent, after the Abu Dhabi reports.

The discussions, which are taking place at the highest levels, do not yet involve the Gulf Arab emirate's sovereign wealth funds, which include the Abu Dhabi Investment Authority, one of the world's largest, three other sources said.

"Abu Dhabi is always talking to parties to invest including RBS. Whether it will materialise or not is too early to say," said the source close to the royal family, speaking on condition of anonymity. "We have to wait and see."

An Abu Dhabi government official declined to comment on the talks, first reported by the BBC on Monday.