DUBAI, Oct 6: Dubai state investment firm Istithmar said on Friday it is taking a 2.7 per cent stake in Standard Chartered Bank for $1 billion.

“Istithmar has completed a leveraged structured investment of approximately $1 billion relating to approximately 2.7 per cent of the share capital of the Standard Chartered Plc,” a company statement said.“The Bank’s strong franchise, impressive growth and recent acquisitions place it in a unique position to provide shareholder value. Istithmar looks forward to a long and close relationship with Standard Chartered,” CEO David Jackson said in the statement.

Sultan Ahmed Bin Sulayem, executive chairman of Istithmar, said: “Istithmar supports the incumbent management team at Standard Chartered and fully endorses their strategic vision.” Set up in 2003, Istithmar is owned by the government of Dubai, part of the United Arab Emirates. It is one of several vehicles that Dubai, the Gulf's trade and tourism hub, uses to buy overseas assets.—Reuters