Unicorn Investment Bank announces 2005 financial results
Bahrain, 12 March 2006 - Unicorn Investment Bank B.S.C.(c) today announces record results of US$24.2m for 2005 compared to US$17m, which was reported for the first eight months of its operations in 2004. “This reflects a well defined and clearly executed business strategy resulting in strong business performance and improved shareholder value”. said Mr. Majid Al-Refai, Managing Director and Chief Executive Officer.
In 2005, Unicorn recorded total revenues of US$52.6m, which compares favorably with US$36.3m for the previous period. This was achieved through diversified revenue streams, with an emphasis on advisory, placement fees and favourable investment portfolio returns.
During 2005 the Bank’s major emphasis was on establishing its market position by creating a foothold in selected markets, particularly the GCC countries, Southeast Asia and the United States. Diversified revenue streams, increased client base and the successful closure of various transactions enabled Unicorn to achieve a return on equity of 20% in its first full-year of operations, thus successfully positioning itself to fulfill its upcoming seven-year business plan. The Bank’s focus in the coming years will be to further develop its market position by delivering innovative Shari’ah-compliant investment products which position Unicorn as the preferred bank for its balance sheet quality, return on investments and consistent growth for shareholders.
During the year, Unicorn successfully closed its first US$52.5million KSA Real Estate Fund 1, which for the first time provided the opportunity for non-Saudi investors to invest in the Saudi real-estate market. The Bank pursued several private equity investments in the Arab world and the United States, the financial impact of which will be reflected in our results in the coming years. The bank has also been mandated on a number of advisory transactions, particularly in the GCC region, and is pursuing a major acquisition opportunity in Southeast Asia, aiming to strengthen its distribution channels according to Mr. Al-Refai.
Yousef Abdullah Al-Shelash, Unicorn’s Chairman commented; “This has been another momentous year for Unicorn Investment Bank which attests to its strategic due diligence, dedication and hard work of both its management and staff”.
Unicorn believes that its strong performance for the first twenty months of operation is a result of its shareholders’ continuous support and trust, rapidly expanding client base and execution of a well defined business strategy.