Qatar Islamic Bank may use sukuk funding for M&A -chairman

Qatar Islamic Bank (QIB) could use future sukuk issues to back a potential acquisition, its chairman Sheikh Jassim bin Hamad al-Thani said, after shareholders approved increasing the amount it could raise from issuing Islamic bonds. The Gulf state's largest sharia-compliant lender won approval at its annual general meeting to double its sukuk programme to $3 billion, as well as retaining the mandate to issue 3 billion riyals ($824 million) to enhance core capital. QIB was fine with its capital reserves at present, its chairman said as the bank had a total capital adequacy ratio of 14.1 percent at the end of December, above a minimum requirement of 12.5 percent.