Al Baraka Turkish unit to issue $200m sukuk


24/01/2012 21:58 AST

Bahraini lender Al Baraka Bank's Turkish subsidiary will go ahead with a $200 million Islamic bond issue in the first quarter, after delaying a sale last month due to pricing concerns, the bank's chief executive said.

'We will launch the sukuk in the first quarter of this year,' Adnan Ahmed Yousif said in an interview on the sidelines of an Islamic finance and banking conference in Oman.

Albaraka Turk Participation Bank is Al Baraka's largest unit and the first bank in Turkey to operate on Islamic principles. It said in December it had postponed the planned issue because the yields investors expected were too high.

Strong demand for a $350 million sukuk issued by Turkish bank Kuveyt Turk in October has underlined how Turkey may become a major source of Islamic bonds for Gulf investors keen to diversify geographically.

The Islamic banking group posted a net income of $166 million in the first nine months of 2011, an increase of 13 percent over the same period in 2010.

'2012 will be better than 2011, we anticipate to improve our balance sheet by 15 percent over last year,' Yousif said.

In October, he said Al Baraka Bank was keen on expanding into Libya following the change in government, and to expedite its previously filed Islamic banking license in the country.

'We are planning another 50 branches in 2012, in countries such as Turkey, Pakistan, Algeria, Egypt and Tunisia,' he said.

He also reiterated that the creation of a long-touted $3 billion Islamic megabank would still go ahead, and the project was now placed in the hands of the Islamic Development Bank (IDB).

Reuters
Albaraka Banking Group - BARKA
2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | News Archive
Most Viewed Companies
Ticker Price Volume
RIBL 14.58 568,836
SABIC 79.98 9,507,280
SPIMACO 35.24 436,996
SAGRINSURANCE 19.49 1,105,593
TAWUNIYA 79.81 328,673
EMAAR 6.52 8,716,712
ALMARAI 85.74 190,009
Recent News

UGB names Lalani as acting CEO
United Gulf Bank (UGB) has announced the appointment of Hussain Lalani as the acting chief executive.

Mr Lalani, currently the chief financial officer, has been with the bank since 2002.

Banking sector to be probed at workshop
Moody’s Investors Service will hold its first Banking and Islamic Finance Workshop in Bahrain tomorrow.

The workshop will focus on Bahrain’s banking sector amid low oil prices and global

Islamic finance assets expected to reach $3.24 trillion by 2020
The 2015 summit, organized by Dubai Chamber, the Dubai Islamic Economy Development Centre (DIEDC) and Thomson Reuters, is set to gather over 2,000 policymakers, thinkers and business leaders on 5 and

DME sets new open interest record for Oman Crude Oil Futures
The premier international energy futures and commodities exchange in the Middle East, yesterday announced a new open interest record for its flagship Oman Crude Oil Futures contract of 27,109 lots,

Profit-booking pulls down Muscat shares
After the strong recovery in the past few sessions, the MSM 30 Index pulled back 0.56 per cent to close at 5,871.60 points. The MSM Sharia Index closed at 921.13 points, down by 0.18 per cent.

GulfBase GCC Index
Search By
  • Company Symbol
  • Company Name
  • Mutual Fund Name
  • News Content
Send this page to a friend

Poll

Which of the following do you think is the best long-term investment?