IslamicFinance.de

Qatar Islamic Bank (QIB) has announced the opening of its new headquarters in the United Kingdom for its subsidiary QIB -UK. The new five storey office is located at 43 Grosvenor Street in the Mayfair district. QIB -UK's focus is on supporting the investment and trade flows between Qatar and the UK. The firm offers real estate investment opportunities for clients looking to purchase premium properties in London. QIB -UK has assembled a team of real estate specialists to ensure clients are well placed to get premium real estate opportunities in the market. QIB -UK, was fully authorised as an Islamic Bank by the UK Financial Services Authority in January 2008, and is fully owned by Qatar Islamic Bank .

Dubai-based Emirates REIT announced that Eiffel Management has acquired a 25 per cent in the REIT manager that was previously held by Dubai Islamic Bank (DIB). The value of the transaction was not disclosed. The REIT Manager is responsible for running the property portfolio of Emirates REIT and all the operations concerning the REIT. It is incorporated in Dubai international Finance Centre and licensed by DFSA. Following the deal, Eiffel Management will own 100 per cent of REIT manager’s total issued share capital. Emirates REIT reported a net profit growth of 39 per cent to reach $48.5 million in 2014 from $34.8 million in 2013.

Jeddah-based Islamic Development Bank (IDB) has opened books after setting initial price thoughts for a potential dollar-denominated sukuk, which could price as early as Thursday, a document from lead arrangers showed. IDB has set initial price thoughts for the senior unsecured five-year sukuk issue at around 10 basis points over midswaps, the document showed. The AAA-rated IDB on Feb. 24 said it had picked CIMB, Dubai Islamic Bank, GIB Capital, HSBC, Natixis, NCB Capital, National Bank of Abu Dhabi, RHB Islamic Bank and Standard Chartered to arrange roadshows in the Middle East and Asia. The roadshows will continue until Thursday, the document showed.

Sharjah Islamic Bank plans to launch a dollar based sukuk, and will hold meetings with fixed income investors on March 5. The bank plans to meet investors in Asia and Europe, it said in a statement on the Abu Dhabi Securities Exchange. Abu Dhabi Islamic Bank, Dubai Islamic Bank, Emirates NBD Capital, and HSBC will act as be arranging meetings on SIB’s behalf.

Global sales of Sharia-compliant debt have slumped more than 70 per cent this year amid a plunge in crude prices. The drought underscores the industry’s dependence on sales from the GCC. Activity will pick up over the coming weeks, with Emirates Airline planning to sell US$1 billion of Sharia-compliant notes this quarter. Petroliam Nasional, the Malaysian state oil company known as Petronas, is seeking to raise as much as $7bn in the largest sale of dollar-denominated sukuk. The Islamic Development Bank will meet investors from this week before a possible issue. Meanwhile, Garuda Indonesia may issue $500 million of US currency Sharia-compliant debt in April.

Liquidity Management Centre (LMC) has announced 18 per cent increase in the net profit at $4.22 million for last year when compared with $3.57m for 2013. This resulted in a return on capital equivalent to approximately 8pc while the average one-year interbank rate remains below 0.75pc. Total operating income was $10.11m as against $10.57m for 2013. Net profit for the fourth quarter was $847,000 versus $784,000 for the same period in 2013. Portfolio-based activities saw a growth of approximately 13pc while the bank's balance-sheet continues to see significant improvement in terms of asset quality and liquidity. Shareholders' equity grew by 7.18pc from $62.96m as of 2013-end to $67.48m as of December-end last year.

Gulf Finance House (GFH), the Bahraini Islamic investment firm, plans to make a $230 million sukuk issue this year to help it fund acquisitions of two to three regional companies. The bank sold $170 million of convertible sukuk murabaha last year to raise money for the investments, Ahmed Khalil Al-Mutawa said. The paper was converted into equity in the same year. In addition to the funds raised through sukuk last year and this year, the rest of the money needed for the acquisitions is likely to come from bank borrowing. Al-Mutawa said that the companies targeted by GFH focused on asset and wealth management and were based in Saudi Arabia, Bahrain and Dubai. The deals, which involve taking controlling stakes, should be closed by the end of the second quarter, he said. He did not give further details.

Kuwait's Warba Bank has successfully arranged a US$150 million, Sharia-complaint syndicated finance facility for the International Bank of Azerbaijan ("IBA"). The facility has a tenor of one year with a bullet repayment due at maturity. Warba Bank has participated in this transaction with a stake of US$20 million in a consortium of six regional and international banks: J.P Morgan Bank, Citigroup, Barwa Bank, Al Hilal Bank, Noor Bank and Dubai Islamic Bank. In addition, Warba Bank has also announced its contribution of US$15 million in an Islamic Sharia-complaint facility amounting US$80 million arranged by HSBC for the Turkish Ozun Group. Moreover, the Bank sold its real estate investment in West Bromwich in the United Kingdom achieving net profit of KD 640 K.

Jeddah-based Islamic Development Bank (IDB) is set to meet fixed income investors starting Sunday ahead of a potential dollar-denominated sukuk transaction. The AAA-rated IDB has picked nine banks to arrange investor meetings in the Middle East and Asia, a benchmark offering will follow, subject to market conditions. CIMB, Dubai Islamic Bank, GIB Capital, HSBC, Natixis, NCB Capital, National Bank of Abu Dhabi, RHB Islamic Bank and Standard Chartered have been chosen to arrange the sukuk sale. IDB, which last issued $1.5 billion in five-year Islamic bonds in September, is looking to increase its issuance of sukuk, partly to raise its profile among international investors and to secure similar pricing levels to other development banks.

Qatar Islamic Bank said on Monday its shareholders had approved the issuance of up to 5 billion riyals ($1.37 billion) of Tier 1-boosting sukuk. The sale would be in accordance with Basel III banking rules and the final amount and currency of the offering would be decided by the board at a later date, the bank said in a bourse filing. The bank said on Jan. 18 it planned to raise up to 2 billion riyals through a sukuk which enhanced its Tier 1 – or core – capital.

Dr. Kaldari Surgi-Art Centre, a cosmetic surgical facility in Qatar, has tied up with Tajmeel, the Qatar International Beauty Academy, for the sharing of expertise to both the Centre’s staff and Tajmeel’s students. As part of their collaborative effort, Tajmeel will be hosting staff members of Dr. Kaldari Surgi-Art Centre in attending some of its sessions, while the Centre will be providing students of Tajmeel with an Observer Program that will enable them to observe, witness and attend procedures and treatments at the facility.

Emirates, the Dubai-based airline, has hired banks to help it arrange a sukuk of up to $1 billion, as the airline seeks to raise cash to finance its pipeline of aircraft orders. The issue will be backed by UK Export Finance (UKEF). UKEF expected to guarantee an Islamic bond in 2015 issued by a customer of Airbus, Britain finance ministry said in October. The upcoming U.K.-backed Emirates deal could close by the end of the first quarter. The transaction is likely to be worth up to $1 billion, with the lifespan being between five and 10 years. Eight banks are arranging the transaction: HSBC, Citigroup, JP Morgan , National Bank of Abu Dhabi, Dubai Islamic Bank, Abu Dhabi Islamic Bank, Emirates NBD and Standard Chartered.

Eduware, a provider and integrator of comprehensive technology-based learning products and services in the MENA region, said Wednesday that 21st century education is inevitable and should undergo a paradigm shift to prepare children for the jobs that have not yet been invented. The company, which will be addressing challenges facing educators, parents and businesses at the Microsoft in Education Global Forum taking place in Dubai on Feb. 22-23, said the new generation has to be armed with a different set of skills than their parents did if they were to enter the emerging job market. The company will present its 21st Century edu-digital tools at the forum.

The Qatari bourse is all set to list one of the four planned investment funds soon. CEO of Qatar Exchange (QE) Rashid Al Mansoori said they were just waiting for the necessary approval to list the fund, while the approval process for listing the second fund is also ongoing. The remaining two proposed funds are under study, he added. One of the four funds is Al Rayan Islamic, while another one will be bonds-based. Details of the four funds are yet to emerge. Al Mansoori said several new companies would be listed on the QE this year. A number of companies have applied for listing and their requests are being looked into by the regulator.

Oman's State Council yesterday approved the draft Takaful Insurance Law referred to it by the Council of Ministers and the report which was prepared by Majlis Ash'shura and the State Council Economic Committee concerning that law. Out of 58 articles, 46 articles have been ratified in compliance with the views expressed by the government and the Majlis Ash'shura, although some articles were not agreed upon. The law ensures the formation of a non-conventional mechanism in the insurance system. It's expected to contribute significantly in stimulating the economy by attracting investors and encouraging consumers who are interested in Islamic insurance system.

Islamic lender Masraf Al Rayan announced it will be launching two debut funds. Of these, the Shariah-compliant Qatari equity ETF, to be listed on the Qatari bourse , is targeting foreign investors. A sukuk fund will be focused on sukuk in the GCC. Both funds will be managed by Masraf Al Rayan 's wholly-owned subsidiary, Al Rayan Investment. Al Rayan Investment manages the Sharia-compliant Al Rayan GCC Fund which invests in select companies across the GCC based on a 24-month investment horizon. The fund has two classes, 'Q' and 'F'. The Q-Fund is denominated in Qatari Riyal and is open to Qatari individual and institutional investors, while the F-Fund is denominated in US Dollars and is open to all investors, resident in any part of the world.

Bank Albilad has entered into agreement with Waad Holding Company to finance the construction of the company’s academy schools project in Jeddah city. Amounting to SR 150 million, the project represents one of largest deals in the sector. The agreement has been signed by Mr. Saleh bin Suleiman Alhabeeb, the bank’s Director General of Banking for Corporate Sector and Dr. Ahmed bin Hassan Aljazaeiri, the CEO of Waad Holding Company, owner of Waad Academy Schools. Waad Academy Schools are one of Waad Holding Company branches. They offer specialized educational programs for students (boys and girls) ranging from grade 1 primary up to grade 3 secondary. The opening of the academy is scheduled to take place in the middle of the current 2015 year.

Aafaq Islamic Finance, a provider of Islamic finance products and services in the UAE, has been awarded ISO 9001:2008 certification for its quality management system. The company’s implemented system has been recognized for its aim to satisfy Aafaq clients through its services--meeting client expectations as well as the requirements needed in developing the quality management system continuously. The ISO, which covers the set international standards on quality management systems within organizations, was awarded after a review and evaluation conducted by the British Standard Institute (BSI), the assessing body assigned by the International Organization for Standardization to grant the ISO Certificate of Conformity.

Private wealth in the GCC has doubled from $1.1 trillion in 2010 to $2.2 trillion in 2014 at an overall compound annual growth rate (CAGR) of 17.5 percent, according to a study by management consultancy Strategy&, formerly Booz & Company. Most of the region’s private wealth resides in Saudi Arabia (44 per cent), but the UAE has made notable gains with its share increasing from 24 per cent to 30 per cent during 2009 to 2013. Together, Saudi Arabia and the UAE control 74 per cent of the region’s private wealth, up from 71 per cent in 2009. The study reveals that geopolitical events also intensified the migration of new wealth to the region. This growth in private wealth makes the GCC a lucrative market for local and global private bankers, said the study.

One of the reasons the Gulf has been so slow to introduce bankruptcy legislation is because there is still a stigma associated with the process. While some of the biggest companies and business names in the West have gone through the process, in the Arab world it is still seen as taboo and a major cultural failure. One company that has gone through the process, come out the other side and is slowly beginning to scratch away at the doomsday perception associated with bankruptcy is Bahrain-owned, US-based firm Arcapita. Atif Abdulmalik, chief executive, believes the Arcapita experience should be seen as an example to authorities in the region who might be reluctant to push ahead with the introduction of similar procedures in the Arab world for fear of the taboo associated with it.