At USD15 million Bahrain Islamic Bank a lead manager to Kuwait's Lagoon City Sukuk

Commenting on this participation, BIsB's Chief Executive Officer, Yousuf Saleh Khalaf said:

"The Bahrain Islamic Bank is proud of being appointed as a lead manager to this vital project, an indication of another BIsB's step forward and confidence by major Gulf, regional banks and other financial institutions".

"We are also very pleased for the decision which has been taken by the issue organizers, selecting us as one of the strategic partners in this very important project. This is the second time that BIsB has participated in a Sukuk issue in Kuwait, reflecting the Bank's aspirations for future expansion and for enhancement of the Islamic Sukuk industry".

Lagoon City is a major real estate residential and commercial development project of the Khairan Pearl City in Kuwait. The 2 year tenor Musharaka Sukuk will offer a return of 200 basis points over 6 month US$ LIBOR payable on a six monthly basis and has an average maturity of 15 months. The Sukuk issue has been underwritten by senior lead managers, including the Bahrain Islamic Bank as a lead manager.

The project has been developed by the Ahlia Gulf Holding Company (AGHC), with the aim of giving property investors the opportunity to own and construct coastal land overlooking the beach.
The Bahrain Islamic Bank was established in 1979 as the first Shari'a compliant commercial bank in the Kingdom. Since then, it has developed and, as of the end of 2004, the Bank had BD 53 million as shareholders' equity and BD 250 million assents.

Listed on the Bahrain Stock Exchange, the Bank acquires a chain of leading local and regional financial institutions, and is governed by the Bahrain Monetary Agency regulations. The Bank also runs a network of 12 branches, including a unique branch in Bahrain dedicated for women.