Kuwait Financial Centre (Markaz) wins Kuwait’s most innovative securities house award for being a pioneering force in the country’s capital markets.
For the 12 months ending March 31, 2024, Markaz recorded revenues of about $101.1 million and net profits of $30.2 million. It had a return on equity of 2.6% and return on assets of 1.6%.
On the deal front, its innovative streak was on display in the past year. One important example was Markaz’s role as a lead manager and subscription agent for Sultan Center Food Products Company’s KD9.65 million ($31.59 million) convertible bond – the first Kuwaiti dinar-denominated convertible bond (CB).
The bonds, issued through a private placement, pay an 8% annual fixed coupon, partially in cash and partially deferred on a semi-annual basis. The structure gives the CB holders the option to convert the bonds into common shares within the first five years, offering them flexibility and strategic value. This transaction was a key component of Sultan’s financial restructuring plan initiated in 2017, with proceeds earmarked for general corporate purposes.
Markaz