ABOUT FIRST ENERGY BANK
First Energy Bank B.S.C.(c) (“FEB” or the “Bank”) is licensed as Islamic Wholesale bank by the Central Bank of Bahrain (CBB) and headquartered in Manama, Kingdom of Bahrain. FEB operates in accordance with Islamic Shari’a principles as a financial partner in project development, joint ventures, mergers and acquisitions and the purchase of assets and asset portfolios.
The Bank established a wholly-owned subsidiary, FEB Capital Ltd, in Dubai International Finance Centre (DIFC) to offer Advisory and Consultancy services. It also served to optimize the bank’s geographical footprint. FEB has also successfully launched its real estate infrastructure and development platform, FEB AQAR, to manage and capture opportunities within the real estate sectors. This will greatly enhance the Bank’s Shari’a compliant activities and capacities.
The Bank was established in June 2008, with an authorized share capital of US$2 billion, and a paid up capital of US$1 billion. On 6th December, 2018, the shareholders approved Capital Re-Organization whereby the Bank’s paid up capital was reduced from US$ 1 billion to US$ 600 million. The Bank’s shareholders include a range of organizations from the Kingdom of Bahrain, the United Arab Emirates, Libya, the Kingdom of Saudi Arabia, and other countries in the region.
The Bank due to a paradigm shift in the overall opportunities available in the Global oil and gas sector, which was the core operating sector of the Bank, has changed its strategic focus and intends to remain robust, pro-active and opportunistic in the market by sourcing potential opportunities in healthcare and defensive sectors, both regionally and globally. The Bank believes that such sectors have huge demand and massive opportunities available to capitalize and generate adequate returns for the shareholders.
On the Bank’s existing lines of business private equity, treasury, real estate, investment banking, capital markets/asset management and Islamic financial debt structured products, the Bank has added Advisory to enhance its revenue streams. The Bank’s subsidiary, based in Dubai, has resources and core competencies to provide such services to various client across the above mentioned sectors. With the above lines of business, the Bank offers unique and specialized opportunities to its shareholders and investors to capitalize on available market opportunities.
First Energy Bank’s (FEB) business model is built around 6 core business lines: Private Equity, Structured / Islamic Financing, Investment Banking, Capital Markets / Asset Management, Treasury and Real Estate.
FEB activities include direct investments in private equity opportunities with a focus in the defensive sector, which includes healthcare and consumer sectors. The investment strategy is based on two pillars:
- Identify and invest in regional entities and assets whereby FEB has a strong presence. FEB adds value through various activities including increased capitalization, financial and operational restructuring, and effective market expansion utilizing the Bank’s extensive network and expertise in these fields.
- Partner / co-invest with strong management and operational teams who have the ability to accelerate the growth and value of each investment. FEB capitalizes on its effective network and banking capabilities to maximize the value of each investment, supporting both continued business expansion and financial capacity.
STRUCTURED / ISLAMIC FINANCING
FEB’s Islamic finance team focuses on the origination, underwriting, and structuring of financing opportunities. Deriving from its fixed income experience in this field from regional and global banking sectors, the team also focuses on providing “ring fenced” Shari’a compliant project and structured finance to selected strategic transactions where risks are mitigated by these structures and returns are optimized.
FEB utilizes its strength in identifying and developing investment and transaction opportunities drawing on all its available resources, aligning itself with strategic partners across various industries. FEB’s unique strength in this field comes from its strong and diversified shareholder base combined with the management team’s experience in various industries, helping to support capital raising and Mergers and Acquisitions (M&A) transactions. FEB’s ability to underwrite transactions across the capital structure further enhances our full investment banking activities.
CAPITAL MARKETS / ASSET MANAGEMENT
The Islamic capital market has been growing rapidly in the last decade through the increasing Shari’a compliant Sukuk, structured products and hedging instruments mainly by sovereigns, quasi-sovereigns, internationals, supra-nationals and corporate institutions. Investors’ demand for Shari’a compliant investment products has been increasing in recent years. FEB’s strategy is to provide innovative, diversified and well-managed products that suit its clients’ needs and meets their return requirements. FEB’s Capitals Markets and Asset Management team are committed to develop and execute long-term strategic and tactical plans to meet portfolio return objectives and continuously innovate and evaluate investing, yield enhancement and financing solutions.
The Islamic banking treasury sector has become increasingly competitive and sophisticated over the years, with demand being fueled by clients and investors expecting Islamic products, services and hedging tools comparable to the innovations provided by conventional banks. As such, FEB has laid a solid foundation to cater for the fast growing demand of Islamic innovations offering a wide range of Shari’a compliant products managed by a team of dedicated personnel to build a stable platform to cater for FEB’s clients and mandated business requirements.
FEB caters the market needs related to the real estate activities from its subsidiary FEB AQAR, managed and operated by professional with strong real estate, project management and development experience. The Bank focuses on selected real estate investments with greater demand and ability to generate adequate returns for the shareholders.