Bahrain-based Al Baraka Banking Group said its Turkish subsidiary, Al Baraka Turk Participation Bank, had concluded a syndicated Sharia-compliant Murabaha financing, raising $196 million and 175.5m euros ($236.7 million).

Standard Chartered Bank, Noor Islamic Bank, ABC Islamic Bank, Barwa Bank and Emirates NDB Capital were lead arrangers for the facility in which 23 banks from 15 countries participated.

The syndicated Murabaha facility comprised two tranches representing $61 million and 77.5 million euros for a tenor of one year and $135 million and 98 million euros for a tenor of two years. The deal follows the earlier syndicated Murabaha financings raised by the bank in 2010, 2011 and 2012 that were in themselves significant amounts.

"We are delighted at the success of the deal as it endorses the strength of Al Baraka Turk Participation Bank in the international markets, especially at a time when the global financial markets and economic situation are so volatile," remarked Adnan Ahmed Yousif, the chairman of Al Baraka Turk Participation Bank and president and chief executive of Al Baraka Banking Group.

"Furthermore it evidences the reputation of the bank in the Turkish market, on the back of a consistent and successful performance of the bank over the past many years," he stated.

Al Baraka Turk Participation Bank general manager and board member Fahrettin Yahsi said: "With its continuing and steady growth over the past decade, the bank can be said to qualify as a major player in the Turkish market. Therefore, we constantly strive to strengthen and diversify our financial resources, duly endorsed by our financial performance and our ability to adapt to the current economic situation in the world markets. Besides it has helped us gain an excellent reputation in the Turkish market."

During the first half, the bank expanded its investment and financing portfolio. Its total operating income increased by 18.8 per cent to 127.56 million Turkish lira ($63.78 million) compared with the first half of 2012. Net income rose 16.37 per cent to $50 million during the first half of the year compared with the same period of 2012.

As of the end of the first half, the bank's assets grew by 15 per cent to $7.4 billion compared with December 2012. The bank expanded its customer and deposit accounts by 16 per cent to $6.4 billion as of end June which financed a total of 87 per cent of the bank's total assets.

Shareholders' equity strengthened by 9 per cent to reach $693 million at the end of June.-TradeArabia News Service