MANAMA, 30 June 2007 — Bahrain-based Gulf Finance House (GFH), region’s leading Shariah-compliant investment bank, yesterday announced the pricing for its international offering of Global Depositary Receipts (GDRs). The total size of the international offer is $276.5 million.
According to the bank, conditional dealings on the London Stock Exchange were commenced from yesterday. Admission of GDRs to the Official List of the UK Listing Authority (Admission), and unconditional dealing of the GDRs on the London Stock Exchange under the symbol GFH, is expected to take place on July 4, 2007.
The bank in a statement said that the international offering has been priced at $25 per GDR. The bank said that 100 million shares were allocated to the international offering with a further 10.6 million potentially available through the over-allotment option, consisting entirely of existing ordinary shares. The total 110.6 million shares represent 15.3 percent of GFH’s outstanding equity capital.
Merrill Lynch International and UBS Limited have been appointed joint global coordinators for the offering. HSBC is appointed co-lead manager to the transaction and Deutsche Bank will act as depository for the GDR’s.
Fuad Al-Omar, chairman of GFH, said: “We have been extremely pleased with the positive response from international investors to GFH’s offer. Pricing at this level is a strong endorsement of our record, market position and strategy. On behalf of the GFH board, I would like to welcome our new investors to GFH and to reiterate our commitment to creating shareholder value.”
Esam Janahi, CEO of GFH, said: “The listing of our GDR in London is an important strategic step for GFH and I am very pleased that we are able to report pricing at this level. This is a testament to GFH’s performance as well as recognition of the growing importance of Islamic finance on a global basis. We are committed to building on our strong record of growth and increasing shareholder value and look forward to working with our new investors in the future.”
Peter Panayiotou, deputy CEO of GFH, said: “GFH is committed to growing its capabilities in the origination and financing of development infrastructure projects in the MENA region as well as expanding its asset management and private equity expertise. The GDR listing will support this strategy by providing GFH with greater access to international capital markets. We are also very pleased and encouraged by the enthusiasm that was displayed by banks and financial institutions in the US and Europe who have shown a strong desire to invest directly in our development infrastructure projects. The GDR exercise has been particularly useful for establishing new relationships with Western financial institutions who have gained a deeper understanding of both GFH’s business and of Islamic finance in general.”
