Liquidity Management House, a unit of Kuwait Finance House (KFH), the Gulf's second-largest Islamic lender, is in the process of issuing $1 billion in Islamic bonds, or sukuk, according to a newspaper report.

"The company is issuing Sukuk with a value up to $1 billion for three projects outside the local market ... with a share of 10 percent, which is equivalent to $100 million," chairman Emad Al-Monayea told Arabic newspaper Al-Watan, adding that the issuance will be done through a consortium.

In March, KFH's Turkish unit said it will launch a $500 million Islamic bond by the end of the year.

In February, KFH missed analysts forecasts as it posted a 29.2 percent drop in its fourth-quarter profits compared with the same period last year. - Reuters