DOHA: The Extraordinary General Meeting (EGM) of Barwa Bank Group has approved the Board of Directors’ proposal to raise a total of QR2.05bn through two share sales, including an IPO.
The bank will increase capital through a rights issue of 50m shares at QR20 each and an Initial Public Offering of 50m shares at QR21 each. The EGM authorised the board to choose the timing of both transactions, following receipt of approvals from the Qatar Financial Markets Authority (QFMA) and the Ministry of Business and Trade.
The capital increase will be used to facilitate further growth in the bank’s asset base and allow Barwa Bank to participate fully in the domestic opportunities presented by the major commitment to infrastructure projects in Qatar as well as positioning the Bank for overseas expansion in due course. The additional capital will also help the bank to meet regulatory expectations with the advent of the Basel III capital adequacy regime.
Barwa Bank Group held its Annual General Meeting (AGM) on Sunday at which the financial results for 2012 were approved and a new Board of Directors was elected. The Group recorded strong growth in both balance sheet and profitability, with Net Income for 2012 up by 41 percent at QR345m compared to QR244m in 2011.
Total assets increased by 32 percent to reach QR25.3bn, the result of 66 percent growth in the financing portfolio from QR9.2bn to QR15.3bn, with customer deposits rising from QR10.1bn to QR14.8bn during 2012.
The Chairman, Sheikh Mohamad bin Hamad bin Jassim Al Thani, said the bank continued to diversify through the successful debut of its Private Banking proposition in 2012. It also identified another growth area, making major investment in its Treasury & Capital Markets capacity and capability. During the year, the bank won lead management roles in a number of high-profile Sukuk transactions with the spectacularly successful State of Qatar issue a particular highlight.
During the year, Barwa Bank’s elevated profile gained significant recognition both domestically and regionally; a development reflected in both customer acquisition volumes and a number of prestigious industry awards recognising its innovative products, outstanding service and exceptional growth. One of the bank’s highlights was being named winner of the Islamic Business and Finance Awards for “Best Bank”, along with “Best Branding” and “Best Domestic Corporate Bank in the Region”. Receiving “Best Bank” — not simply nationally or regionally but on the international stage — a very significant achievement and one that all of the team at Barwa Bank were especially proud of.
Barwa Bank has achieved 20 percent Qatarisation at a group level. As important, the bank has prominent Qatari banking professionals in a number of key leadership roles driving and executing the group’s growth strategy.
The Peninsula
