Ajman Bank $150mln Rights Issue oversubscribed 7.4 times

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UAE - Ajman Bank’s AED550 million ($150 million) Rights Issue drew an overwhelming response with oversubscription of 7.4 times and a total demand of AED4.1 billion. The initiative attracted many international investment banks and local investors.

The Rights Issue offered both registered shareholders and other investors the chance to subscribe to the newly issued shares at a price of AED1 per share, matching the nominal value of Ajman Bank’s ordinary shares.

Capital base

The Rights Issue will strengthen the capital base of the Bank and the share capital will be increased to AED2.7 billion after the completion of allocation process and the regulatory requirements.

Mohamed Amiri, Chief Executive Officer of Ajman Bank, commented: "The success of the Rights Issue underscores the unwavering trust and support of our shareholders. This positions us strategically to roll out our growth strategies and continue providing unmatched value to our shareholders. Our advisers played a pivotal role in ensuring the success of this endeavour. This achievement is also a testament to the robust UAE economy, setting us on the path to offer sustainable returns."

Allocation of shares to the investors is expected on or around August 9, 2023 with refunds due to commence on or around August 11, 2023. Commencement of dealing in new shares is expected on or around August 16, 2023.