This listing follows the market reforms Boursa Kuwait introduced which led to the leading equity index compiler S&P Dow Jones Indices (S&P DJI) announcement to include Kuwait in its Global Equity Indices with an Emerging Market classification later this year.
Commenting on the listing, Mr. Khaled Abdulrazzaq AlKhaled, Chief Executive Officer, Boursa Kuwait, said: We are pleased to welcome the listing of Al-Manar Financing and Leasing Company on Boursa Kuwait, which confirms the market’s prominent position as a preferred listing destination. It is also a true testimony to the progress we have made in improving the infrastructure and regulatory environment, and implementing the best international practices in transparency across our operations towards creating an attractive investment platform and restoring investor confidence. In addition, the listing will serve as a motivation to continue seeking new ways to develop the capital market in line with our strategic objectives that include improving the business environment, establishing a diversified and wider issuer base, and increasing the depth and breadth of products. We are also optimistic that the listing of a reputed firm like Al-Manar Financing and Leasing Company in the main market will encourage more Islamic financing institutions to list their shares on Boursa Kuwait.”
Mr. Abdulla Saud Al Bader, CEO of Al-Manar Financing and Leasing Company thanked Kuwait’s Capital Markets Authority and the management of Boursa Kuwait for their cooperation, starting from the preparation phase to the listing. He also thanked Kuwait Financial Center “Markaz” for managing the listing process effectively in its role as the manager and consultant for the listing and Al-Hossam Legal Law Firm in its role as the legal consultant for the listing process.
Mr. Al Bader added: “At Al-Manar Financing and Leasing Company, our biggest priority has always been to widen our customer base and offer unique and innovative financing solutions. We expect that the listing of the company on Boursa Kuwait will lead to significant increase in our market value and will help attract more investors in the near future.”
Mr. Manaf Abdulaziz Alhajeri, CEO of Markaz, commented: “We are delighted that our listing services to Al-Manar Financing and Leasing Company contributed to the success of the listing process, offering a unique investment opportunity to investors and adding value to the market. We would like to thank the company’s management for placing its trust and confidence in our abilities to manage the listing, which stems from our rich portfolio in the field of capital markets and listings, whereby ‘Markaz’ managed the listing of several Kuwaiti and non-Kuwaiti companies on the exchange since 1997. I would also like to extend our deepest gratitude to Boursa Kuwait team and the Capital Markets Authority for their cooperation to complete the process successfully.”
According to Al-Manar’s financial statements, Al-Manar Financing and Leasing Co. K.S.C.C. was established on October 6, 2003, by a number of institutions and individuals to offer various investment and financing products and instruments. A few years later, the company introduced Sharia-compliant financial services tailored for retail customers and made financial investments in different sectors, such as insurance, leasing, and investments.
During the global financial crisis of 2008-2009, Al-Manar Financing and Leasing Company remained resilient and continued its activities by restructuring its loans. In the following years, the company maintained the quality of its credit portfolio through the compliance of all regulatory requirements to meet any doubtful debt. This positively reflected the company’s credit rating as of December 2014 when Capital Intelligence (CI) raised the company’s rating from ‘B+’ to ‘BB-’. In November 2016, CI upgraded the company’s credit rating to ‘BB’ in recognition of the company’s stability over the past five years.
Al-Manar Financing and Leasing Company’s capital as at 30 September 2018 was KD 30.875 million, and total assets were valued at KD 44.7 million, while liabilities stood at KD 9.35 million. The company achieved earnings of KD 5.58 fils per share for the fiscal year 2017. Its investor base includes Qatar Investment & Projects Development Holding Company with a 18.39% share and Wafra International Investment Company (Clients’ Account) at a 14.58% share and Financial Assets Company – Bahrain at a 13.74% share.