Kuwait's Warba Bank to issue $250mln sukuk

Lender obtains initial approval from central bank to make issuance

  
US dollar bank notes. Image used for illustrative purpose.

US dollar bank notes. Image used for illustrative purpose.

Getty Images

Warba Bank, a Kuwait-based Islamic Bank, is preparing to issue another sukuk to boost its capital base, according to a bourse filing on Thursday. 

In a statement to Boursa Kuwait, the bank said it had received an initial approval from Central Bank of Kuwait on Wednesday to issue Additional Tier 1 securities in the amount of $250 million. 

The final approval on the issuance will be obtained from the central bank after submitting the final prospectus of the sukuk, the lender said. 

The bank also obtained the central bank’s approval to recall its outstanding Additional Tier 1 Capital sukuk, which was issued in March 2017 with an amount of $250 million. 

The lender offers a wide variety of banking and investment products, as well as financial services to corporate and retail clients.  

Its net profit for the first quarter of 2021 stood at 2.7 million dinars ($8.9 million), up from 2 million dinars in the same period last year. 

(Writing by Cleofe Maceda; editing by Daniel Luiz ) 

Cleofe.maceda@refinitiv.com 

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