The proposed rights issue will increase Abu Dhabi Islamic Bank (ADIB) issued capital from AED 3.1 billion to AED 3.6 billion through the issuance of 464 billion new shares.
ADIB has announced that it will convene a general assembly meeting to vote on a proposal by the bank’s Board of Directors to raise capital through a AED 1 billion rights issue.
The board intends to raise capital to support the bank’s continued growth and its objectives in achieving its 2020 vision while meeting regulatory requirements.
In a statement, ADIB said that the general assembly will also vote on the board’s proposal to issue a $750 million (AED 2.75 billion) perpetual tier one Sukuk as well as the repayment of its $1 billion Sukuk that was successfully issued in 2012 as the world’s first Shari'ah compliant hybrid tier 1 Sukuk.
Mr. Khamis Buharoon, ADIB Vice Chairman and Acting CEO, said that the board believes that the decision to raise capital through rights issue will position us well to take advantage of the UAE’s economic development and ensure that we continue to deliver a compelling offering to customers.