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<strong>Islamic</strong> <strong>Finance</strong> news Guide 2008<br />
NOVEMBER news briefs<br />
Rafe Haneef resigned from his post as head of Citigroup Asia’s<br />
<strong>Islamic</strong> banking unit.<br />
BIMB Unit Trust Management, a subsidiary of Bank Islam Malaysia,<br />
declared income distribution for three funds. ASBI Dana Al-Fakim<br />
gave a distribution of 2.25 sen (US$0.00668) per unit, equivalent to<br />
an annual distribution yield of 4.47%. The two other funds, Al-Munsaf<br />
and Al-Falah, gave a distribution of 9.15% and 7.17% distribution<br />
yield.<br />
Binariang GSM revealed plans to sell some RM12 billion (US$3.6<br />
billion) of bonds to fi nance its buyout of mobile network operator<br />
Maxis Communications.<br />
Citibank was considering the possibility of a joint venture with a local<br />
bank in Malaysia to set up a standalone <strong>Islamic</strong> banking unit.<br />
National Bank of Kuwait launched a US$ money-market fund<br />
according to Shariah principles. The fund started at a minimum<br />
investment of US$25,000 and additional investments of US$1,000.<br />
Qatar <strong>Islamic</strong> Bank launched two investment funds with a capital<br />
of QAR2 billion (US$550.36 million) under the name Al Sanabel,<br />
targeting Shariah compliant stocks on the Doha Securities Market.<br />
Amlak <strong>Finance</strong> signed a strategic alliance with Real Estate Bank<br />
headquartered in Abu Dhabi, offering its <strong>Islamic</strong> home fi nance<br />
solutions for the Al Maha Tower.<br />
The Dubai International Financial Exchange listed a range of <strong>Islamic</strong><br />
structured products on the TraX platform, offering investors attractive<br />
new Shariah compliant opportunities.<br />
First Gulf Bank announced its fi nancial results for the fi rst nine<br />
months of 2007, showing an increase of 21.5% in net profi t,<br />
compared with the previous corresponding period, to reach AED1.39<br />
billion (US$378 million).<br />
HSBC and the Dubai International Financial Exchange launched<br />
a family of indices tracking the price movements of conventional<br />
Middle Eastern bonds and international Sukuk.<br />
Emirates <strong>Islamic</strong> Bank and Hydra Properties announced the<br />
signing of a memorandum of understanding establishing a strategic<br />
partnership to enable customers of Hydra Properties to avail<br />
themselves of EIB’s home fi nance solutions.<br />
Total Sukuk issuance accrued by 110.7% to US$37.3 billion over<br />
2007. Of the total, ringgit-denominated Sukuk made up 54%, at<br />
US$20.1 billion. Sukuk listed on the Dubai International Financial<br />
Exchange and London Stock Exchange also amounted to US$16.14<br />
billion and US$7.2 billion, respectively.<br />
Unicorn Investment Bank announced strong results for the ninemonth<br />
period ended the 30 th September 2007. Earnings rose by 32%,<br />
from US$64.1 million in the fi rst nine months of 2006 to US$84.6<br />
million in the corresponding period for 2006.<br />
Page 142<br />
www.islamicfi nancenews.com<br />
Al Khaliji confi rmed its buy of French bank BLC Bank’s assets, in line<br />
with its bid to expand outside Qatari ground.<br />
Hong Leong Bank offered up RM877.5 million (US$263.48 million)<br />
for a substantial stake in a commercial bank in Chengdu City<br />
Commercial Bank in China.<br />
Shuaa Capital’s half-year results as at the 30 th September 2007 saw<br />
a revenue hike to AED277.2 million (US$75.48 million), a 62% rise<br />
over the fi rst half of the previous corresponding period.<br />
BMB Investment Bank revealed its results for 3Q2007 with a net<br />
income of US$16.2 million for the fi rst nine months of the year as<br />
compared to US$5.9 million in the previous corresponding period.<br />
BNP Paribas in the Gulf announced the creation of its combined<br />
syndications and bond origination platform on the ground.<br />
The Ras Al Khaimah Investment Authority began planning European<br />
and Middle East roadshows for its inaugural US dollar-denominated<br />
benchmark Sukuk offering.<br />
MAC Sharaf Securities began offering clients trading access to the<br />
Dubai International Financial Exchange.<br />
SABB Bank planned to raise its capital to SAR6 billion (US$1.6<br />
billion) by issuing three bonus shares for each fi ve shares held.<br />
The Dubai Financial Services Authority entered into a memorandum<br />
of understanding with the United States Banking Supervisors,<br />
making it the fi rst regulator in the Middle East to do so.<br />
National Bank of Kuwait launched a Shariah compliant, US$denominated<br />
money market fund for short and medium-term Shariah<br />
compliant instruments.<br />
Al Salam Bank-Bahrain launched its online banking system at www.<br />
alsalambahrain.com, allowing clients to place standing orders and<br />
transfer recurring payments from respective accounts.<br />
Abu Dhabi National Energy Company (TAQA) revealed plans to sell up<br />
to US$6 billion in bonds in 2008, subject to credit market conditions.<br />
Proceeds from the bonds will be used to fund the company’s US and<br />
Canada acquisitions of Pogo Producing’s Northrock Resources and<br />
oil and gas exploration fi rm Pioneer Canada.<br />
Al Salam Bank generated a net income of BH$17.4 million (US$46.2<br />
million) as at the 30 th September 2007, an increase of BH$12.2<br />
million (US$32.4 million) over the previous corresponding period.<br />
Ras Al Khaimah Investment Authority launched its debut DIFX-listed<br />
Sukuk at US$500 million, over a fi ve-year tenure.<br />
The governor of Qatar Central Bank called for increased corporate<br />
governance, disclosure and transparency in <strong>Islamic</strong> banking<br />
practices.<br />
<strong>continued</strong>...
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