DUBAI: Qatar International Islamic Bank (QIIB) is seeking shareholder approval to raise up to 3 billion riyals (Dh3.02 billion, $825 million) through a capital-boosting sukuk issue, becoming the latest Gulf bank to look to debt markets to replenish reserves after a period of strong lending growth.
The bank announced the plan on Monday after reporting full-year net profit of 826 million riyals, up 10.1 per cent.
The Tier 1 sukuk would be used to support the bank’s capital requirements for future growth and expansion, it said in a statement to the bourse.
QIIB’s total capital adequacy ratio, a combination of Tier 1 and Tier 2 capital, stood at 16.27 per cent at the end of 2014 against a 12.5 per cent minimum prescribed by Qatar’s central bank.
