Latest news with #RafikNayed
Zawya
04-06-2025
- Business
- Zawya
Dubai-listed Al Salam Bank's AT 1 issuance raises $450mln
Al Salam Bank, a Shariah-compliant bank based in Bahrain, has raised $450 million in its Additional Tier 1 (AT1) capital issuance. The private placement drew substantial demand from investors in the region and overseas despite global market volatility, the company, which is dual-listed on the Bahrain Bourse and Dubai Financial Market (DFM), said on Tuesday. 'The overwhelming response to our USD 450 million AT1 capital issuance is a testament to Al Salam Bank's financial stability, market credibility and strategic direction,' said Rafik Nayed, Group CEO of Al Salam Bank and Managing Director of ASB Capital. Al Salam's investment banking arm, ASB Capital was mandated to advise and structure the issuance. The offering is part of the company's strategy to strengthen its capital base and support future growth plans. The company also looks to boost its position as a diversified financial group in the region. Since 2020, Al Salam has consistently increased its total equity by more than 65%, according to Nayed. (Writing by Cleofe Maceda; editing by Seban Scaria)
Zawya
28-05-2025
- Business
- Zawya
Al Salam Bank exits 15.6% stake in Seef Properties
Manama, Bahrain: Al Salam Bank (Bahrain Bourse trading code 'SALAM', Dubai Financial Market trading code 'SALAM_BAH'), the largest Islamic bank in Bahrain, announced the sale of its 15.6% shareholding in Seef Properties (Bahrain Bourse trading code 'SEEF') to GFH (Bahrain Bourse trading code GFH). ASB Capital, the Group's asset management arm, was appointed by Al Salam Bank as sell-side advisor. The exit of Seef Properties forms part of a broader Group optimization strategy designed to expand and reinforce focus on core banking operations and the Group's strategic holdings in banking, takaful, and asset management. ASB Capital was mandated by Al Salam Bank to assist in sourcing, structuring, and executing the exit of its significant minority stake in Seef Properties. Launched earlier this year with a starting AUM of USD 4.5 billion, ASB Capital recently launched its investment banking offering covering advisory, transaction mandates, capital market solutions, and other bespoke offerings across various asset classes. Commenting on this transaction, Rafik Nayed, Group Chief Executive Officer of Al Salam Bank and Managing Director of ASB Capital, said: 'This transaction represents our continued commitment to exit non-strategic holdings as part of a group-wide optimization initiative. Aligned with our strategy, we are reallocating capital and focus towards growing core banking operations and expanding our strategic holdings in banking, takaful, and asset management- sectors that offer long term value and operational synergies within the context of the Group.' Additionally, he stated: 'ASB Capital's role in facilitating the transaction, despite global market volatility, underscores the strength of our expertise and execution capabilities in transaction advisory and capital markets. Backed by a strong pipeline from both local and regional institutional clients spanning private equity, syndications, capital instruments, and advisory services, ASB Capital is well positioned to capitalize on the growing momentum in regional deal activity.
Biz Bahrain
14-05-2025
- Business
- Biz Bahrain
Al Salam Bank Net Profit increases by 32.7% in Q1 2025
Al Salam Bank (Bahrain Bourse trading code 'SALAM', Dubai Financial Market trading code 'SALAM_BAH') today announced record net profit attributable to shareholders of US$ 49.3 million for the first quarter of 2025 (Q1 2025), marking a 32.7% increase from US$ 37.2 million reported in Q1 2024. The growth in profitability was primarily driven by the strong performance of the Group's core banking operations, subsidiaries, and associates. Earnings per share (EPS) increased to US cents 16.2 for Q1 2025, compared to US cents 13.0 for the same period last year. Correspondingly, the Bank's Return on Equity (ROE) has increased to a record 17.2% in Q1 2025, up from 15.9% in Q1 2024, underscoring enhanced sustainable profitability and prudent capital management. The Bank's gross income for Q1 2025 increased by 36.0% to US$ 280.2 million, compared to US$ 206.0 million in Q1 2024. The Group's consolidated cost to income ratio improved significantly, decreasing to 46.5% in Q1 2025 from 47.8% in Q1 2024, supported by an efficient operating model, group-wide optimization initiatives, and scalable growth. Moreover, total comprehensive income attributable to the owners of the Bank for Q1 2025 increased to US$ 71.7 million, up from US$ 69.5 million in Q1 2024. The Bank's balance sheet continued its growth trajectory, reaching a new record with total assets increasing by 4.5% to US$ 19.58 billion in Q1 2025, compared to US$ 18.73 billion in 2024. Financing assets increased by 4.9% to US$ 10.19 billion, while customer deposits increased to US$ 13.77 billion, up 4.8% from US$ 13.14 billion at the end of 2024. Total equity attributable to the Bank's shareholders increased by 8.3% to US$ 1.04 billion in Q1 2025 from US$ 956.2 million in 2024. Accordingly, the Bank's capital adequacy ratio was maintained at 24.8%, reflecting a strong capital position conducive for sustainable growth. Commenting on the results, His Excellency Shaikh Khalid bin Mustahail Al Mashani, Chairman of Al Salam Bank, said: 'We are proud to deliver a strong first-quarter performance in 2025, underscored by robust earnings growth, enhanced capitalization, and continued balance sheet expansion. Despite the unpredictable nature of the global geopolitical and economic landscape that has characterised the start of 2025, the GCC remains resilient and well positioned for long-term growth.' Rafik Nayed, Group Chief Executive Officer of Al Salam Bank, added: 'This record performance reflects the Bank's ability to consistently execute growth initiatives and actively respond to evolving market conditions. This year, our focus will be on accelerating our Group-wide digital initiatives, enhancing customer experience and product offering, expanding our regional footprint through our asset management arm, ASB Capital, and further optimizing our operating model. These efforts continue to strengthen our position as a dynamic, diversified, and forward-looking financial group'. With a clear focus on innovation, financial resilience, and sustainable growth, Al Salam Bank continues to build on its strong foundation, positioning itself as a leading regional financial group with integrated offerings across banking, asset management, and takaful.
Zawya
10-04-2025
- Business
- Zawya
Al Salam Bank awarded "Bank of the Year" by The Banker for 2024
Al Salam Bank has been named Bahrain's "Bank of the Year" for 2024 by The Banker magazine. The prestigious award highlights the Bank's leading position in the financial sector, recognizing its strong financial performance, successful acquisitions, seamless integrations, and commitment to delivering innovative financial solutions. Building on its track record as a regional leader in mergers and acquisitions, Al Salam Bank achieved a significant milestone in 2024 with the acquisition and integration of Kuwait Finance House – Bahrain. Completed in record time, the integration ensured an uninterrupted banking experience for all clients during the migration process. The transaction expanded the Bank's asset base by nearly 30%, further solidifying its position as Bahrain's largest Islamic bank and creating new avenues for growth and innovation. On the international front, Al Salam Bank strengthened its regional footprint by increasing its stake in Al Salam Bank – Algeria, the country's largest Islamic bank, to 68%. The Bank also strategically launched ASB Capital, it's asset management arm in the Dubai International Financial Centre (DIFC). The initiative provides diversified wealth and asset management solutions, offering clients access to exclusive investment opportunities traditionally reserved for institutional investors. These strategic milestones align with the Group's ambitious strategy to expand its regional footprint and solidify its position as a leading diversified financial group. The Bank's commitment to innovation is further reflected in its products and service offerings designed to meet the diverse and evolving needs of its clients. The Danat Savings Scheme remains Bahrain's leading and largest rewards program, featuring two grand cash prizes of BD 1 million each. Furthermore, the Bank enhanced its Al Salam Invest platform, offering advanced investment solutions to empower clients to achieve their financial goals. Embracing cutting-edge technology, Al Salam Bank has leveraged AI and machine learning to improve client experiences and operational efficiency. Key initiatives include the launch of an AI-powered Asset Sales model, which identifies and executes sale opportunities, and an AI-driven customer experience model that processes feedback to measure satisfaction and refine processes accordingly. On this occasion, Rafik Nayed, Group CEO of Al Salam Bank, said: "This recognition is a testament to our unwavering commitment to service excellence, innovation, and operational efficiency. It underscores our transformational journey and record-breaking achievements while celebrating the hard work, dedication, and collective efforts of our team. We remain focused on delivering value-driven financial solutions and fostering lasting relationships with our clients and stakeholders. Moving forward, we are committed to sustainable growth, financial resilience, and optimizing our business model for long-term value creation as part of our three-year strategy.' Anwar Murad, Deputy CEO – Banking, commented: "We are immensely proud of this achievement, which reflects our strong growth trajectory and expanding presence in the region. This award not only celebrates our past successes but also inspires us to build on our strong foundation and leverage our momentum to further enhance our offerings. By prioritizing our clients' evolving needs and embracing a digital-first approach, we aim to drive greater efficiency, scalability, and innovation while delivering superior value to our clients and stakeholders.' The "Bank of the Year in Bahrain for 2024" award reaffirms Al Salam Bank's leadership in redefining the banking landscape and delivering pioneering financial solutions. The Bank remains dedicated to providing exceptional customer service, supporting sustainable value creation to shareholders, and contributing positively to the communities that we serve.
Zawya
10-02-2025
- Business
- Zawya
Bahrain's Al Salam Bank net profit grows 40% to record $156.5mln
Bahrain-based Al Salam Bank has achieved record profitability with net profit attributable to shareholders increasing by 39.8% to $156.5 million for the fiscal year ended December 31, 2024, up from $112 million in 2023. The substantial growth in profitability was predominantly driven by the strong performance of the group's core banking operations, subsidiaries, and associates as well as the successful acquisition of Kuwait Finance House – Bahrain (KFH-Bahrain), the group's fifth banking M&A transaction. Maintaining its position as the largest Islamic bank in Bahrain, the group's balance sheet expanded significantly with total assets growing by 37.2% to $18.73 billion in 2024, from $13.65 billion in 2023, driven by the successful implementation of key growth initiatives in banking. The group's financing portfolio increased by 36.8% to $9.71 billion while customer deposits increased by 41.7% to $13.12 billion. While total equity attributable to shareholders expanded by 6.8%, return on average equity increased significantly to 15.7% in 2024, up from 13.2% in 2023. The group set a new benchmark in the M&A space, having completed the fastest and most seamless banking transition in the region following the acquisition of KFH-Bahrain from Kuwait Finance House Group in H1 2024. Completed in record time, the integration ensured uninterrupted services for clients while creating new avenues for growth and innovation. During the year, the group also launched ASB Capital, its asset management arm headquartered in the Dubai International Financial Centre (DIFC), with a starting AUM of $4.5 billion in assets under management (AUM). In light of the strong financial performance, the Board of Directors recommended a dividend distribution of 14% of issued and paid-up share capital (6% cash dividends and 8% stock dividends), aggregating $99.6 million and reflecting an increase of 20% from 2023. This recommendation is subject to AGM and regulatory approvals. Shaikh Khalid bin Mustahail Al Mashani, Chairman of Al Salam Bank, commented: 'Our exceptional performance in 2024 demonstrates the effectiveness of our long-term strategy and the hard work, dedication, and collective efforts of our team. Our focus for the coming period will be on exploring new opportunities, especially in banking, takaful, and asset management, to solidify our position as a leading and diversified regional financial group. Our commitment to create long-term, sustainable value for our shareholders and our wider stakeholder base remains at the core of our strategy as we navigate an increasingly dynamic and competitive industry.' Rafik Nayed, Group Chief Executive Officer of Al Salam Bank, added: 'We are proud of our achievements in 2024 having completed several key strategic initiatives which have cemented our position as a leading diversified financial group. Over the course of the year, we successfully completed the acquisition and seamless integration of Kuwait Finance House - Bahrain in record time, launched the Group's asset management arm (ASB Capital), strengthened capitalization, expanded our balance sheet, and significantly increased profitability to record levels. Looking ahead, our strategic plan includes initiatives to drive efficiencies through AI and digital adoption, significant market share acquisition across Group companies, and the launch of new verticals to further diversify, optimize, and increase profitability.' – TradeArabia News Service Copyright 2024 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
