ABG approves distributing US$ 175m as cash dividends and bonus shares
Al Baraka Banking Group B.S.C (ABG) has approved the recommendations of the Board of Directors to pay cash dividends to shareholders at the rate of 3.5 cents per share, amounting to a total of US$ 30.43 million and the issue of bonus shares at the rate of one share for every 6 paid shares (amounting to US$ 144.93 million) to the shareholders registered on the date of the Annual General Meeting, in its Ordinary and Extra-ordinary General Meetings held on Wednesday 21st March 2012 in Manama.
Extraordinary General Meeting also approved increasing the issued and paid up capital by transferring US$ 144.93 million to the capital and to issue against this amount bonus shares to the shareholders registered as at the date of the Meeting at the rate of one share for every 6 shares held.
Sheikh Saleh Abdullah Kamel, Chairman of ABG commented: “The outstanding financial results achieved by Al Baraka Banking Group in 2011 were the result of the implementation of carefully studied ambitious strategies that struck a balance between the adoption of prudent and conservative measures required by the prevailing regional and global economic and financial conditions on the one hand, and continuing our expansion in the different markets and in providing innovative Islamic products and services to our customers, on the other.”
Abdulla Ammar Saudi, Deputy Chairman of ABG, stressed that “The economic and financial developments witnessed by year 2011, either the sovereign debt crisis in Euro zone or Arab political developments, further compounded the adverse conditions. In view of these developments and conditions, the financial results achieved by the Group in 2011 can be viewed as excellent by all standards.”
Adnan Ahmed Yousif, member of the Board of Directors and the Chief Executive of ABG, said that “The cash dividends and bonus shares distributed to the shareholders reflect the outstanding results that we achieved in 2011. These results confirm as amounts and key indicators our success in dealing with the current banking and financial situation. We prepared ourselves early for the repercussions of the crisis by developing balanced business strategies that enabled us maintain expansion in providing finance and investment services and products through our subsidiary units on the one hand, and continue with the implementation of our investment spending programs in the areas of expanding our branch network and modernizing the IT infrastructure and human resources on the other.
The Group’s financial results for year 2011 showed a net profit of US$ 212 million reflecting an increase of 10% over the profit of 2010. Similarly, balance sheet items witnessed moderate increases. Total assets increased by 8%, total finance and investments by 4%, deposits including equity of investment accountholders by 8% and as at the end of December 2011 in comparison with the end of December 2010.
