Kuwait, 14 May 2012; Warba Bank announced today the acquisition of the new headquarters of British Telecom (BT) located in the town of West Bromwich in the UK, which was officially opened in February 2012. The building benefits from a new 15-year lease to BT.

"Since establishment, the bank's strategy was defined and then approved by the board of directors with the help of one the biggest consultancy firms. Accordingly, several investment opportunities were studied and the best were seized. This substantial transaction marks one of them, and reflects Warba Bank's competency and capability to conclude successful investments generating ongoing returns and cash flows at a carefully considered risk profile. This achievement is in line with our vision aiming at building an investment base which is lucrative for the Bank and its shareholders on medium to long-term basis," said Mr. Jassar Al-Jassar, Chairman and Managing Director of Warba Bank.

The building enjoys excellent characteristics and is distinguished by its unique and award-winning design. It provides long-term income and a security of a world class covenant for Warba Bank. The transaction delivers an annual cash yield of 8%, and is expected to generate an internal rate of return of more than 10%. Given its experience and reputation in this field, London-based Gatehouse Bank plc has been appointed as an adviser for the transaction.

The British Telecom building is located in the center of West Bromwich, just five miles north-west of Birmingham, the second largest city in the UK after London. The building is compliant with the latest international superior standards, and benefits from the reputation of the tenant.

Moreover, the building is located in a rapidly growing region; where the global retailer "Tesco" is building a GBP 200 million shopping center near BT building. Further, several new public buildings; such as the "University of Sandwell", worth GBP 77 million, and a new police station at a cost of GBP 10 million are currently under constructed. All these factors will contribute to improving the infrastructure, which in turn will attract several new investments and support the local economic growth.

In an earlier statement, Geffen Patterson, BT Board Member and Chief Executive of BT's Retail Division, said: "This state-of-the-art office building is a giant leap forward for the West Midlands, creating much needed jobs and prosperity at a time of economic uncertainty. This show what can be achieved when the public and private sectors work together in partnership".

-Ends-

About Warba Bank:
Warba Bank is an Islamic bank established by virtue of an Amiri Decree, and was officially registered in the Central Bank of Kuwait's list of Islamic banks on April 5th, 2010. The State of Kuwait, represented by Kuwait Investment Authority (KIA), owns 24% of the bank's shares while the remaining 76% of shares, fully subscribed by the government, have been equally allocated to all Kuwaiti nationals. Warba Bank offers a range of customized Sharia-compliant services and solutions through the banks three divisions of Retail, Investment and Corporate Banking. Branching out in four strategic locations, Warba Bank has over 150 employees. 

For media information, please contact:
YOUSEF K. ALSHALLAL
Marketing & PR Manager
Tel:  +965 2 228 8800
Dir.:  +965 2 228 8855
Fax: +965 2 228 8601
Email: Yousef.Alshallal@warbabank.com

Nadin Al Alami / Stacy Lobo
ASDAA Burson Marstellar
Tel: 00965 22901571/ 2/ 3/ 4/ 5  
Fax: 00965 2290157
Email: n.alami@asdaa.com / s.lobo@asdaa.com

© Press Release 2012