Press Release

Rating of Sukuk issued by Al-Baraka Bank (Pakistan) Limited

Karachi, September 05, 2017: JCR-VIS Credit Rating Company Limited has finalized the rating of ‘A’ (Single A) assigned to the Tier 2 Sukuk issue of Al-Baraka Bank (Pakistan) Limited (ABPL). Outlook on the assigned rating is ‘Stable’. The previous rating action was announced on May 17, 2017.

ABPL has issued a regulatory Shariah compliant unsecured, subordinated, privately placed Tier 2 Sukuk of Rs. 1.5b. The Sukuk is structured based on the principles of Mudaraba. Purpose of Sukuk issuance is to support the Bank in strengthening its overall capitalization levels and meet Basel III requirements.

At end-June’2017, ABPL had an asset base and equity of Rs. 121.8b and Rs. 11.04b, respectively. The Bank posted profit before tax of Rs. 81.8m during 1HCY17. A key rating driver to the assigned ratings is ABPL association with the Al-Baraka Banking Group (ABG); a prominent Islamic Banking Group having diversified operations in 15 countries.

For further information on this rating announcement, please contact Mr. Javed Callea (Ext: 201) at 35311861-70 (10 lines) or fax to 35311873.

Faryal Ahmad Faheem
Deputy CEO

Applicable rating criterion: Commercial Banks Methodology - November 2015 http://www.jcrvis.com.pk/Images/Meth-CommercialBanks201511.pdf

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