Qatar First Bank (QFB), which has an attractive pipeline of deals targeted for completion during 2016 and 2017, will make its debut on the Qatar Stock Exchange (QSE) today, making it the first Qatar Financial Centre (QFC)-based firm to go public.
“Our listing on the QSE was always a top priority, and we are proud to deliver on this promise to our shareholders who have supported us all these years and to the Qatar market in general. It is an opportunity to broaden our shareholder base and offer new investors an opportunity to join us for the next phase of our journey,” QFB chairman Abdulla bin Fahad bin Ghorab al-Marri said in the presence of media and dignitaries.
The reference price for the first day will be QR15 with a fluctuation of 30% up/down which will be permitted only for the first day of listing. However; price fluctuation on the second day and thereafter will be permitted by 10% up/down as the case for all other listed companies.
QFB’s entry has many significances as it is the first new listing on the QSE in 2016; the first private sector entity to be listed on the QSE in six years; and the first bank to be listed on the QSE in nine years.
QFB maintained a strong financial performance in 2015 with a total income of QR336.5mn and a net income of QR66mn. Its total assets have grown over the past three years at a compounded annual growth rate of 38.7%, driven mainly by its new strategy of focusing on enhancing its banking operations to include deposit taking and lending facilities.
The key growth drivers of total assets in the financial year 2015 were cash and cash equivalents, investments carried at amortised cost (sukuk) and financing assets led by the increase in deposits.
Terming that QFB’s listing on the QSE marks an unprecedented success for it, QFC chief executive Yousuf al-Jaida said “QFB is our first licensed firm to go public and I am confident that this milestone will trigger more listings.”
The QFC remains committed to providing the right support to facilitate the success of its firms and empower its business community to further develop Qatar’s financial services sector, he added.
“The listing will offer QFB the opportunity to join the rest of the banking community on the QSE, this will allow us greater visibility, tap into new client segments, and empowerment to deliver on our business plan,” QFB chief executive Ziad Makkawi said. Highlighting that QFB is in a new phase of growth and that credibility associated with the listing will support it in this effort; he said “the transformation of QFB from an investment focused to an investor focused entity will continue across our main business lines: corporate and institutional banking, private banking; wealth management, treasury; investments, as well as alternative investments with a focus on private equity and real estate.”