Foreign ownership of up to 40 per cent of Tamweel's share capital approved at EGM

The assembly also approved the issuance of AED 1.1 billion (US$300 million) of convertible sukuk and AED1.83 billion (US$500 million) of non-convertible sukuk.

Sheikh Khaled bin Zayed bin Saqer Al-Nehayan, Chairman of Tamweel, said: "In response to extremely strong demand, we are raising the cap on foreign ownership in Tamweel's share capital to the maximum allowable by law. This move will allow the company to broaden its foreign investor base, especially among institutional investors that believe Tamweel shares to be a valuable growth stock."

He continued:

"The approval of the issuance of sukuk worth AED 3 billion (US$800 million) will allow Tamweel to offer an even wider range of products and services to its clients across the UAE and wider region. These issues will assist the company to capture market share, multiply revenues and derive value for shareholders through increased returns that maximize their wealth. We believe that together, these two moves will create an even more solid foundation for the future growth of the company."

Adel Al Shirawi, Chief Executive Officer of Tamweel, said: "As the results of today's meeting demonstrate, Tamweel is continuously striving to derive value for our shareholders and initiate innovative funding streams. Tamweel continues to contribute to the sustainable growth and economic diversification of the UAE by attracting foreign direct investment through allowing increased foreign ownership and the issuance of attractive sharia-compliant investment instruments, such as these sukuk."

The company's net profit during 2006 touched AED 851.8 million, an increase of 1,918 per cent compared to AED 42.2 million during 2005, the core business profit rose to AED 153 million, representing 315 per cent growth. Earnings per share rose to AED 1.11 up from AED 0.12. Islamic financing and investing assets in 2006 rose to AED 2.584 billion compared to AED 1.303 billion the previous year, an increase of 98 per cent. Income from Islamic financing and investing assets in 2006 surged to AED 128.5 million, registering growth of 178 per cent compared to AED 46.2 million in 2005.