Ithmaar Bank announces new board, key appointments to management team

These appointments follow the successful completion earlier this year of an initial public offering (IPO) of 150 million shares and a private placement of 60 million shares, which have more than doubled the Bank's paid-up capital to U$360 million.

The formation of a seasoned Board of Directors, including three independents with no stake in the Bank, will add significant value for the Bank's new shareholders. Further, this will ensure the highest levels of transparency and compliance with the latest corporate governance guidelines set by the Bahrain Monetary Agency (BMA).

"The conversion of the Bank's status from a closed company into a public shareholding firm is a major milestone in the growth and development of Ithmaar Bank and its affiliates," said Mr. Khalid Abdulla Janahi, Chairman of the Board of Directors of the Bank.

"We are delighted to welcome our new Board, which is composed of prominent men and women respected for their leadership and expertise in business and financial services in diverse markets, including Malaysia, Pakistan and USA, besides the GCC region."

In addition to Mr. Janahi, the other Board members are:

Tunku Dato Ya'acoob bin Tunku Abdullah, Group Managing Director/Chief Executive Officer, MAA Holdings Berhad, Malaysia
Mr. Abdelhameed Abou Moussa, Governor, Faisal Islamic Bank of Egypt
Mr. Mohamed bin Saif Al Mezrouei, Chief Executive Officer, Off-set Investments Company, Abu Dhabi, UAE
H.H. Shaikha Hissah bint Saad Al Sabah, President, Council of Arab Business Women
Shaikha Hanadi bint Nasser bin Khalid Al Thani, Vice Chairperson & Managing Director, Amwal, Qatar
Mr. Farook Bengali, President and Chief Executive Officer, Faysal Bank Limited (Pakistan)
Mr. Mohammed Yousef Elkhereiji, Private Office of Mohammed Yousef Elkhereiji, Geneva, Switzerland
Mr. Khalil Nooruddin, Director, Bahrain Institute of Banking & Finance (BIBF)
Mr. Ziad H. Rawashdeh, Group Chief Operating Officer, DMI Trust
Mr. Graham R. Walker, Group Head of Finance and Risk Management, DMI Trust

The Bank has also put in place a number of key members of the management team, which will execute the strategies set for the Bank in its new phase of development.

These are Shaikh Salman bin Ahmed Al-Khalifa, Managing Director, Private Banking; Mr. Mohammed Khan Hoti, Managing Director, Investments; and Mr. Scott Creswell, General Counsel and Company Secretary.

"I am also pleased to welcome our new management team members to Ithmaar Bank. They bring with them a wealth of experience and expertise in the Bank's core functions and will, no doubt, play a key role in advancing the Bank's mission of becoming the premier provider and manager of Sharia'a compliant investment products in the Middle East," said Mr. Janahi.

Ithmaar Bank has already announced its first major deal, following the Bank's recent reconstitution.

The Bank is partnering with Deutsche Bank and Dubai-based Abraaj Capital to raise a US$2 billion Islamic private equity fund for investing in infrastructure in the Middle East and North Africa (MENA) region and South East Asia.

The Infrastructure and Growth Capital Fund will be one of the largest ever raised in the Middle East region. Ithmaar Bank and Deutsche Bank are co-sponsors of the Fund, while Abraaj Capital is the manager.

The key targeted sectors for the Fund will be oil & gas, petrochemicals, power and water, telecommunications, roads, and health and education.

The predominant focus of the Fund will be to take majority/minority positions in greenfield projects, participate in large scale privatizations and invest in buyout and restructuring opportunities. The Fund will also seek to provide mezzanine funding to companies in the targeted sectors.

The fund targets an internal rate of return (IRR) estimated at 15% over its 10-year term.

"With its focus on infrastructure development opportunities, which in the Middle East region alone exceed US$1 trillion, the Fund seeks to take advantage of the unprecedented economic boom which is currently taking place in the MENA and South East Asia regions."

"The Infrastructure and Growth Capital Fund is the first in a strong pipeline of investment opportunities to be announced by Ithmaar Bank in the coming months."