Capinnova Q2 revenues jump 1300pc
Manama, August 11, 2009
Bahrain-based Capinnova Investment Bank, a Shari’a compliant subsidiary bank of BBK, has reported a rise of 1300 per cent in its gross revenue for the second quarter of 2009 as compared to the same period last year.
While gross revenues of $1.17 million for second quarter of 2009 in comparison to $90,000 from same quarter last year, the net loss reported for the second quarter 2009 was $821,000 as compared to $481,000 during the same quarter last year.'
For the first half year ending June 2009 bank’s gross revenue stood at $1.5 million as compared to $230,000 in June 2008.
Capinnova is a newly established investment bank which started its operation at the beginning of this year with an authorized capital of $500 million and paid-up capital of $125 million.
The net loss reported for the half year ending June 2009 was $2.4 million due to the start up and initial operating costs.
“We are pleased to note the gradual build up in the gross revenue in the first half of the year since we are a newly established investment bank and commenced operations in difficult market conditions,” said Abdulkarim Bucheery, Capinnova’s chairman.
“These numbers reflect the strength of our business model at a very challenging time faced by the industry. At Capinnova, we have coped well amidst these tough market conditions and our focus on introducing innovative Islamic banking products and services should make us even better prepared for the longer term,” he added.
“While such markets may also offer good investment opportunities, we continuously urge our clients to be more diligent and careful while investing. We are quite content in supporting our prominent clients with innovative Shari’a compliant products and services that ensure a win-win position for all parties involved.”
Capinnova also recently invested in building the biggest commercial mall in the Muharraq area. The total cost of the project is worth approximately $50 million. Construction of this large commercial project has already started and its scheduled completion date is expected to be during the second half of the year 2010.
Jamal Hijres, chief executive officer at Capinnova Investment Bank, said: “We will continue to strengthen and innovate our Islamic products’ framework to stay ahead in the industry. We are further strengthening our business development in terms of efficiency in our execution and processes.
“We are taking decisive actions to ensure that this continues to evolve over the coming months and we are looking forward to more business transactions, fund products, projects and further diversified opportunities in the market,” he added.
“With expertise and commitment, I am confident that the team will help us achieve our ambitious goals despite the current market challenges.”
Capinnova’s vision is to be a world class Islamic investment bank offering a range of high quality products and services to a diverse clientele.
The bank aims to become the Islamic investment bank of choice and a niche player, providing clients in the GCC and Mena region with superior investment products. These products are aimed at building and sustaining shareholder value whilst maintaining an optimal balance between risks and returns. - TradeArabia News Service