The GFH board has resolved, subject to relevant regulatory and shareholder approvals, to seek a further re-capitalization of the bank. "Such money will be used solely for acquisitions and growth initiatives. Further details will be made available to the market shortly," the bank in a statement said issued on Monday.

GFH also announced the appointment of Esam Janahi as executive chairman and the launch of a new capital program. Janahi will lead the next stage of recovery and the return to growth of the bank.

Following the board meeting held on Aug. 15, GFH requested its shares be suspended seeking first stage regulatory approvals to proceed and also seeking to retain an internationally recognized adviser.

GFH on Monday requested that the trading suspensions be lifted as the bank received the preliminary approvals and appointed Deutsche Bank AG (London branch) as its structuring agent.

"I am delighted to advise that the board has taken the step of asking Esam to lead the bank as executive chairman during the next phase of its growth. As the founder of the bank and the leader of many initiatives that have delivered considerable value to shareholders and investors, he is the right person to reenergize GFH and seek to grow through securing new initiatives," said Ted Pretty, group CEO.

GFH recently, he said, announced its first half results for 2010 and it is clear that the business is on track in its plans to re-emerge as one of the leading Islamic banks in the region.

"In late 2009 and in the first half of 2010 we have taken the hard decisions to clean up our balance sheet, re-schedule our long term debt and develop a leaner operating model. We now need to aggressively pursue new business in new markets and Esam has an enviable track record in leading such initiatives. Our losses for the balance of 2010 will now be modest and 2011 is the year we expect to show real progress and success. "

"I am honored to be asked to assume an executive role within GFH once again. The market is beginning to recover and now is the time to seek new opportunities. I intend to work closely with our group CEO, Ted Pretty, to ensure that GFH enjoys the right mix of innovation, entrepreneurialism, strong management and governance," said Janahi.