Manama, 12 February 2013:

Al Salam Bank-Bahrain (ASBB), announces the successful exit of its circa £38 million Shari'a compliant mezzanine facility extended to the refinancing of 5 Canada Square, a landmark commercial Property located in the heart of Canary Wharf, the financial district of London. ASBB entered the transaction in August 2010 and has exited on 31 January 2013. The transaction marks ASBB's second successful investment and exit in London with the previous being Milton Gate in 2010.

5 Canada Square is a Grade A freehold commercial tower in Canary Wharf, London leased to Credit Suisse for a further unexpired term of 14 years maturing in 2027. The building, designed by Skidmore, Owings & Merill and completed in October 2002, comprises a high quality Grade A office building extending to 536,338 sq ft. The Property lies to the north of Canary Wharf, adjacent and to the northeast of One Canada Square the focal point on Canary Wharf. The twin towers of HSBC Bank and Citibank are situated in close proximity to the property.

Yousif A. Taqi, CEO and Director of ASBB commented: "Given the current weak economic conditions in Europe, this exits marks a significant achievement for ASBB and its investors. Completion of the exit has generated attractive returns enabling our clients to benefit from a high yielding product while minimizing downside risk"

Mr. Taqi added, "UK commercial real estate market has improved but plateaued since our entry in 2010 and our strategy to exit comes at a time when the Bank has alternative opportunities with attractive risk-return profiles both in the UK and other target markets. In these market conditions, investment protection is a key factor in our investment strategy".

Michael Evans, Chairman of Evans Randall, the sponsor and arranger of the transaction, said "We are delighted to have worked once again with Al Salam Bank-Bahrain on the 5 Canada Square transaction. The investment outlook in London remains strong for the right opportunity, and the ability to deploy funds together leaves Evans Randall and Al Salam Bank well placed to capitalise on such opportunities."

The successful entry and exit of this transaction demonstrates ASBB's ability to provide its valued clients with differentiated investment opportunities with attractive terms that are structured to take advantage of current market conditions. 

Herbert Smith and Ogiers advised ASBB on the exit.

-Ends-

Al Salam Bank-Bahrain (BSC)
Headquartered in the Kingdom of Bahrain, Al Salam Bank-Bahrain (B.S.C.) is a dynamic, diversified and differentiated Islamic bank.

Key factors that contribute to the Bank's distinct market differentiation include:

o    Strong paid-up capital base;
o    Pre-eminent founding shareholders;
o    High-caliber management team;
o    State-of-the-art IT infrastructure;
o    Universal business model covering deposits, financing and investment services;
o    Innovative, tailor-made Shari'a-compliant solutions;
o    Firm commitment to corporate and social responsibility

Incorporated on 19 January 2006 in the Kingdom of Bahrain with a paid-up capital of BD 120 million (US$ 318 million), Al Salam Bank-Bahrain (B.S.C.) commenced commercial operations on 17 April 2006. The Bank operates under Islamic principles in accordance with regulatory requirements for Islamic banks set by the Central Bank of Bahrain.

The Bank's Initial Public Offering, comprising 35 per cent of the paid-up capital, raised over BD 2.7 billion (US$ 7 billion) and was the largest IPO in the Kingdom's history. Al Salam Bank-Bahrain was listed on the Bahrain Stock Exchange on 27 April 2006, and subsequently on the Dubai Financial Market on 26 March 2008.

For further information, please contact:
Adnan Al Shaikh                                 
+973 39336900

© Press Release 2013