MANAMA: BBK shareholders have approved the distribution of BD51,374,480 as cash dividend for 2019.
At 40 fils per share, this is equivalent to 40 per cent of the paid-up capital (interim cash dividends include 10pc paid to shareholders); the cash dividend will be distributed on April 12.
The general assembly also agreed to distribute bonus shares to shareholders at 5pc of the paid-up capital, which equals five shares for every 100 shares held, for a total of BD6,484,459 to become the bank’s capital after the increase of BD136,173,633.
The amount of BD6,422,556 bonus shares on the paid-up capital does not include treasury shares and the amount of BD61,903 bonus shares on treasury shares.
The sum of BD7,536,144 has been transferred to the statutory reserve and the amount of BD7,536,144 to the general reserve, approving the amount of BD2,000,000 for donations in relation to the bank and its subsidiaries, and recycling the amount of BD430,213 as retained earnings carried over to the next year.
The meeting also elected seven members to the board: Murad Ali Murad, Shaikh Abdulla bin Khalifa Al Khalifa, Ghania Al Darazi, Jassem Zainal, Edrees Ahmad, Shaikh Khalifa bin Duaij Al Khalifa and Mohammad Hussain, in addition to Mishal Al Hellow, Naser Al Raee, Hani Al Maskati, Ashraf Bseisu and Noor Al Jassem as non-executive members of the board.
Subsequently, the extraordinary general assembly approved the increasing the issued and paid-up capital to an amount not exceeding BD136,173,633, and amending Article 7 of the Articles of Association.
The general assembly was held amidst strict preventive health measures in line with the directions of the government.
Murad Ali Murad, chairman, said “BBK was able to achieve another year of profitability, sustainable growth, and good performance despite the great challenges that were presented last year in conditions of regional and global instability and declining oil prices. BBK enters the year 2020 more determined to face the challenges that were exacerbated by the spread of the coronavirus that has taken a heavy toll on business and deepened the fiscal deficit. The continuous decline of oil prices, the reduction of the federal interest rate, the increase in the state budget’s deficits and the accompanying increase in debts all continue to be a serious concern.”
“Focusing on core banking activities along with consistent performance, taking a proactive risk management approach and commitment to strategic goals resulted in the delivery of another record performance growth of 12.4pc. This is in addition to an improvement of the diluted earnings per share to 59 fils, total assets recording an increase of 7.9pc over 2018, with customer deposits remaining at BD2,170m by end of 2019, leading to a good level of loans to customer deposits ratio of 77pc. Due to active risk management and recovery efforts, the net provision for impairments for the year was reduced to BD19m,” Mr Murad added.
Chief executive Reyadh Sater said the bank is aggressively pursuing its strategic goals, as during the year 2019 the bank distributed interim cash dividends of 10 fils per share.
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