Islamic Finance News magazine granted the sukuk deal that is worth USD 100 million which was orchestrated by Kuwait Finance House-Turkey (KFH-Turkey) three awards for year 2010, which are Deal of the Year, Best Sukuk Deal in the world, and Best Deal in Turkey in 2010, as an appreciation of for arranging such a deal that is considered to be the first of its kind among Turkish banks.
Vice Chairman and Managing Director of Liquidity Management House (LMH) Emad Al-Menaie said that this honoring serves to shed light on the efforts exerted during 18 months in arranging the issuing, structuring, and marketing of the deal that was successful to the extent of covering the issuance, despite the challenging market conditions that coincided with the deal; in addition to considering the honoring an international recognition of the bank’s experience in the field of Islamic finance. He mentioned that the deal is considered to be the first financing deal in the Turkish market that is arranged by a Turkish bank. He went on to say that despite the potential for growth, challenges remain a factor concerning this field; however, he stressed that the collective efforts of all concerned authorities will play a role in taking advantage of opportunities and in overcoming existing challenges. He explained that the current trend is to deal with institutions that have strong financial coverage and sufficient cash flow, without the need to resort to the credit market to repay its debts.
It is worth noting that KFH-Turkey that is owned by KFH, had announced in August the offering of Sukuk worth USD 100 million over three years to finance its expansions and operations. The deal was orchestrated by LMH and Citi Bank, in addition to 19 other banks and financial institutions in the Middle East, the gulf, Europe, and Asia.