MANAMA: Overwhelming majority of shareholders approved the payment of cash dividend and bonus shares worth $82.3 million and capital increase to $1.09 billion.
ABG held its ordinary and extra-ordinary general meetings on Sunday where the shareholders reviewed and approved the financials for the year 2013.
The AGM approved the distribution of cash dividend to the shareholders amounting to $36.6million, 3.5 cents for each share and transfer of $93.4 million to the retained earnings.
The meeting then reviewed and approved the consolidated financial statements for the financial year ended 31/12/2013 and the proposed distribution of profits for the financial year ended 31/12/2013.
The AGM/EGM accorded approvals including the approval the transfer of 10% of the net income amounting to $14.4million to the statutory reserve.
The meeting also approved the proposed distribution of one bonus share for every 23 fully paid up shares, amounting to $45.58 million to the shareholders registered as of the date of this meeting from the retained earnings after obtainment of the required official approvals.
After the Ordinary General Meeting, an Extraordinary General Meeting was held and it approved the increase of the issued and paid up share capital from US$1.04 billion by transferring US$45 million to the share capital and issue bonus shares of one share for every 23 fully paid up shares to the shareholders registered as of the date of this meeting. The meeting also approved the amendment of the Memorandum and Articles of Association as per the Resolution passed pursuant to previous item and to authorize and empower the Board of Directors or its delegate to take the necessary action, to effect amendment to the Memorandum and Articles of Association for the purpose of attesting and publicizing the increase in the share capital and the necessary amendment to the Memorandum and Articles of Association.
Shaikh Saleh Abdulla Kamel, Chairman of Al Baraka Banking Group expressed his gratitude and thanks to all shareholders and members of the Board of Directors for re-electing him as Chairman.
“The excellent financial results achieved by Al Baraka Banking Group in 2013 were a reflection of the balanced and ambitious strategies which were based on the substantial and varied resources possessed by the Group over 3 continents. With such resources, ABG was able to implement its strategies on the ground by implementing programs and policies that took into account the precautionary and prudent measures necessitated by the current regional and global economic and financial conditions on one hand, and the need to continue expand in our markets and provide innovative Islamic products and services to customers on the other. And as such, the Group has succeeded in meeting its Sharia and moral obligations towards developing the communities in which it operates, and at the same time maximize the value to its shareholders, owners, investors and depositors. Therefore, the Group now exists in a wide geographical area covering 3 continents and 15 countries serving a population of one billion people.”
“The Group, by successfully weathering an extremely difficult year and achieving excellent financial results, was once again able to demonstrate the depth of its expertise and the high competence of its executive management team as well as the soundness of its financial resources and marketing capabilities. Therefore, we owe it to them, to extend our thanks and appreciation to the executive management at head office and the executive management teams at the subsidiary banks for the great efforts they exerted in the consolidation of their strategies and resources and capitalizing upon the growing opportunities in their markets, specially that they have a long experience in such markets that enabled them to participate effectively in serving the community and their individual and corporate customers,” Abdulla Ammar Al Saudi, Deputy Chairman of ABG, said.
“These results were the outcome of a number of initiatives that we had launched during the past year including continually improving the quality of our products and services, introducing more innovative products, and the planned expansion in branches of the subsidiaries which exceeded 479 branches. Also, strengthening relationships with our partners, investors and customers, and entering new markets as well as modernizing and developing our human, operational, regulatory and technical infrastructures at both Group and subsidiary banking units’ levels. Taking into account that the employees in the Group exceeded 9,891 employees, and all these initiatives have contributed to maximizing the returns to the shareholders and investors of the Group.”
The Group’s financial results for year 2013 showed a net profit of US$ 258 million in 2013, a noticeable increase of 10% on the income achieved in 2012. Similarly, statement of financial position items witnessed good increases. Total assets increased by 10%, total financing and investments by 7%, and deposits including equity of investment account-holders by 8% at the end of December 2013 in comparison with the end of December 2012. The Group’s results in year 2013 emphasize the operational and earning sustainability that the Group enjoys, which maintains its financial performance in a steady state of growth over the past years, based on the robustness of the business strategies of the Group, its wide geographical network, sound financial, technical and human resources, and growing customer base, despite the extreme difficult economic and banking environment during the past year.
Shaikh Saleh Abdullah Kamel, Chairman of Al Baraka Banking Group, Abdulla A. Saudi, Deputy Chairman, Abdullah Saleh Kamel, Deputy Chairman, Adnan Ahmed Yousif, President and Chief Executive of the Group and all members of the Board of Directors expressed their sincere thanks to the Ministry of Industry and Commerce, Central Bank of Bahrain, Bahrain Bourse and Nasdaq Dubai for the cooperation and assistance they extended to the Group since it was established. They also extended their thanks to all central banks in the countries in which Group banks operate and to all investors and customers for their continuing support and custom. They also thanked all the employees for their hard work, dedication and loyalty.
Al Baraka Banking Group is a Bahrain Joint Stock Company licensed as an Islamic wholesale bank by Central Bank of Bahrain, listed on Bahrain Bourse and Nasdaq Dubai stock exchanges. Group offers retail, corporate, treasury and investment banking services, strictly in accordance with the principles of the Islamic Shari’a. The authorized capital of Al Baraka is US$ 1.5 billion, while total equity is at about US$ 2 billion.
The Group has a wide geographical presence in the form of subsidiary banking Units and representative offices in fifteen countries, which in turn provide their services through more than 479 branches. Al Baraka currently has a strong presence in Jordan, Tunisia, Sudan, Turkey, Bahrain, Egypt, Algeria, Pakistan, South Africa, Lebanon, Syria, Indonesia, Libya, Iraq and Saudi Arabia.