In a significant move that underscores its financial strength and strategic foresight, Al Salam Bank has successfully closed a USD 450 million Additional Tier 1 (AT1) Capital issuance. This achievement not only reflects robust investor confidence but also highlights the bank's commitment to sustainable growth and financial optimization.

Conducted as a private placement, the issuance attracted substantial demand from both regional and international investors, showcasing Al Salam Bank's ability to access liquidity across global markets. This demand is a testament to the bank's solid financial position and its promising long-term growth strategy.

The AT1 Capital issuance is a crucial component of Al Salam Bank's broader financial optimization strategy. It is designed to enhance the bank's capital position, thereby supporting its ambitious growth plans. With annual growth exceeding 35% across balance sheet metrics, the bank is poised to further enhance its financial standing and capitalization profile.

Rafik Nayed, Group CEO of Al Salam Bank and Managing Director of ASB Capital, expressed his satisfaction with the overwhelming response to the issuance. He emphasized that this move strengthens the bank's capital base and enhances its financial agility, enabling it to execute its ambitious growth aspirations. Since 2020, Al Salam Bank has consistently increased its total equity by more than 65%, and this issuance further consolidates its position as a leading diversified financial group in the region.

ASB Capital, the bank's asset management and investment banking arm, played a pivotal role in advising and structuring the issuance. The firm's expertise in capital markets has been instrumental in attracting substantial investor demand, even amidst global market volatility. ASB Capital's ability to connect clients to a broad network of funding sources positions it as a key player in the capital markets space, offering tailored financing solutions to meet evolving client needs.

Given Al Salam Bank's strong financial position, strategic growth plans, and the successful capital raising, the recommendation for investors is to buy the stock. The bank's commitment to sustainable growth and its ability to navigate market dynamics make it a promising investment opportunity.