~ Capital reaches LKR 10 Billion ahead of time

Amãna Bank was infused with over Rs. 4.75 billion to its capital base, when its shareholders expressed confidence in the Bank resulting in its recent rights issue being oversubscribed. In doubling its capital, the Bank issued 1,250,695,567 ordinary voting shares in the ratio of one new share for every share held at an issue price of Rs. 3.80 per share. With the fresh capital input, the Bank has comfortably met the statutory capital requirement of Rs. 10 billion, well ahead of the January 2018 timeline.

Subscribing to the Rights Issue, IB Growth Fund (IBGF) together with their ultimate parent company Islamic Development Bank (IDB), have increased their shareholding to 29.9% of the Bank, showing strong confidence on the Banks future and the country’s economic progress and future prospects, despite Sri Lanka being a non-member country of the IDB. Along with IBGF and IDB, a number of other local and foreign shareholders have also subscribed to the issue, which resulted in the issue being oversubscribed.

Commenting on the successful rights issue campaign, the Bank’s Chairman Osman Kassim said “The oversubscription of the Bank’s Rights Issue signifies the confidence our shareholders have in Amãna Bank’s journey and we are really honoured and grateful to have their support and commitment. This capital infusion will take the Bank to greater heights.”

Also sharing his views, Chief Executive Officer Mohamed Azmeer said “Having turned around in 2015 to start making profits, and the fresh capital that has just come in, the Bank is now in a strong and healthy position to pursue its expansion and growth plans in line with our 5 year strategic plan. I am very optimistic of our future and look forward to the excitement and challenge as we enter our next phase of growth.”

Amãna Bank is the country’s first Licensed Commercial Bank to operate in complete harmony with the globally growing non-interest based banking model. With the mission of Enabling Growth and Enriching Lives, the Bank reaches out to its customers through a growing network of 28 branches and 3800+ ATM access points and has introduced a bouquet of customer conveniences such as Internet & Mobile Banking, Debit Card with SMS alerts, Saturday Banking, Extended Banking Hours, 24x7 Cash Deposit Machines and Banking Units Exclusively for Ladies.

Fitch Ratings, in October 2016, affirmed the Bank’s National Long Term Rating of BB(lka) with a Stable Outlook. The Bank was recognized as the Best ‘Up-and-Comer’ Islamic Bank of the World by ‘Global Finance Magazine’ at the 18th Annual World’s Best Banks Award Ceremony held in Washington DC, USA. The Bank was also bestowed the coveted title ‘Islamic Finance Entity of the Year 2016’ at the inaugural Islamic Finance Forum of South Asia Awards Ceremony.

Photo caption: Osman Kassim - Chairman Amana Bank (left) and Mohamed Azmeer - CEO Amana Bank