Islamic Bank Flotation Launched

KUWAIT CITY, 27 April 2004 — Subscription began yesterday for the shares of a new Islamic bank in Kuwait in the largest share flotation in the oil-rich emirate, an official said. The process involves the sale of 760 million shares worth some $261 million to Kuwaiti nationals in the Bubiyan Islamic Bank, the second of its kind in the emirate, head of the founders’ committee Dherar Al-Rabah said. The bank has a capital of 100 million dinars ($330 million), with the state-owned Kuwait Investment Authority (KIA) holding a 20 percent stake and the pension social security fund four percent. The capital is divided into one billion shares, each carrying a value of 100 fils (33 cents) with additional three fils subscription charges.