UAE's Dar Al Takaful effects rights issue to raise its capital

DUBAI, 24th April, 2017 (WAM) -- The DFM-listed Dar Al Takaful will effect a right issue to raise its capital to AED 150 million by issuing 50 million shares effective Tuesday, 25th April through 8th May, Dubai Financial Market announced on Monday.

The opening price of the company's right issue has been set at AED 00.23 based on the price of the company's share at the DFM after deducting the issue price, said DFM in a statement.

The rights will be deposited in the clearing account or brokerage account of each registered shareholder where his or her shares are held shortly after the eligibility date. The rights will appear in the accounts of the registered Shareholders under a new symbol "[DARTAKAFULRI]" that designates these Rights.

The right issue will be tradable without setting price limits for the first day only, while a maximum of 15 percent and a minimum of 10 percent will be set for the right issues effective the first day of trading through the end.

The rights issue is an offer by Dar Al Takaful to its existing shareholders, and to the then rights holders, to subscribe for up to 50 million shares to be issued at a price of AED 1.00. The rights to be issued to shareholders are tradable securities making their holders eligible to subscribe for the new shares of the company.

The new shares will have the same rights as the existing shares. The existing shares and the new shares will give their holders equal rights in the company's assets at the time of liquidation and a share of profits as well as the right to attend general assemblies and vote on any proposed resolutions. The new shares will rank pari passu with the existing shares including the right to all future dividends and other distributions declared, made or paid after the eligibility date.

WAM / Hatem