Title: Resolution No. (112) of 2023 Regarding Granting a Collective Investment Scheme License to Warba Bank for the Incorporation of Warba Islamic KD Money Market Fund

Having Perused:

- Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and its Executive Bylaws, and their amendments; and

- Based on the request of Warba Bank for the incorporation of Warba Islamic KD Money Market Fund in the State of Kuwait; and

- Memorandum and Articles of Association of Warba Bank; and

- Articles of Association, Issuance Prospectus, and Agreements of service providers of Warba Islamic KD Money Market Fund; and

- Based on Resolution No. (24) of 2023 regarding amending the approval authorizations of the Supervision Sector’s procedures issued on 12/02/2023.
The Following Was Resolved:

Article (1)
Warba Bank is hereby granted approval to incorporate Warba Islamic KD Money Market Fund. It is offered for public subscription in a variable capital with a minimum of KWD 2,000,000 (two million Kuwaiti Dinars only), a maximum of KWD 1,500,000,000 (one billion and five hundred million Kuwaiti Dinars only) and a nominal value of KWD 1 (only one Kuwaiti Dinar) per unit. The number of units subscribed to by any of the Fund’s subscribers may not be less than KWD 1000 (only one thousand Kuwaiti Dinars).
 
Article (2)
The units to be offered for subscription shall be 1,500,000,000 units (one billion and five hundred million units only) which totals KWD 1,500,000,000 (one billion and five hundred million Kuwaiti Dinars only). The Fund manager's participation in the Fund’s units shall not be less than KWD100,000 (one hundred thousand Kuwaiti Dinars only) or the equivalent in other currencies as a minimum. The Fund manager may dispose of or redeem some of the units he owns in the event that their net value exceeds the minimum stipulated in this Article.

The parties receiving the subscription applications are as follows:
•     Warba Bank

Article (3)
The objectives of the Fund are as mentioned in the prospectus.
 
Article (4)
The Fund’s term is 15 calendar years, starting from the date of its registration in the Funds Register at the CMA. It is renewable for other similar term(s) upon the request of the Fund’s manager and after obtaining the approval of the CMA and the unit holders that represent more than 50% of the Fund’s issued capital.
 
Article (5)
The Fund is granted a temporary license for three months from the starting date of the subscription for the purpose of completing the CMA’s requirements and the minimum limit of the Fund’s capital. The Fund is not permitted to practice any of its activities based on this temporary license.

Article (6)
The applicant may close the subscription period and be satisfied with the subscribed capital at any time during the temporary license, provided that it is announced or the target group that was invited to subscribe is notified before a period of not less than three business days from the new closing date.

 
Article (7)
In the event of the expiration of the temporary license without completing the requirements stipulated in Article (5) of this Resolution, the temporary license shall be revoked, unless the license term is extended for another similar term upon the request of the license applicant, before the end of the original term of the temporary license.
 
Article (8)
The assigned fees shall be paid within 30 days from the date of issuance of this Resolution. In case of default in paying the fees during the specified period, this Resolution shall be considered null and void.
 
Article (9)
The Fund shall be licensed, after completing the minimum limit of the capital, for three years from the date of its registration in the Funds Register at the CMA.
 
Article (10)
The concerned bodies shall execute this Resolution, each within its jurisdiction. This Resolution shall come into force from the date of its issuance, and it shall be published in the Official Gazette.
 

 Zeyad Al-Fulaij 
Head of Supervision Sector
Issued on: 23/07/2023

Copy of the Official Document