Dubai Islamic Bank to pay 45pc cash dividend

Dubai Islamic Bank (DIB) has announced the distribution of a 45 per cent cash dividend for 2015, a 12.5 per cent increase from the previous year, following the conclusion of its Annual General Meeting.

The assembly approved the bank's 2015 financial statements. For the 12 months ended on December 31, 2015, DIB reported a net profit of Dh3.83 billion, a significant increase of 37 per cent compared to Dh2.80 billion in 2014.

The assembly also reviewed the Fatwa and Shariah Supervisory Board Report, and reappointed KPMG as the bank's external auditors.

In addition, the AGM ratified DIB's capital increase by way of rights issue of 988,437,777 million new shares to raise the paid-up capital from Dh3,953,751,107 to a maximum of Dh4,942,188,884. The rights will be offered either once or through a series of issuances after obtaining the required approval from relevant regulatory authorities.

Furthermore, authorisation was obtained on increasing the ceiling of non-convertible Sharia-compliant hybrid tier 1 capital instruments by $750 million for the purpose of strengthening the bank's capital. This additional increase will take the total tier 1 capital from $ 2 billion to $2.75 billion.

Dr Adnan Chilwan, Group CEO, DIB, said: "DIB has delivered another remarkable performance in 2015 as the bank joined the ' Billion Dollar Profit Club'.