Lacklustre response for Zain KSA Rights Issue

Just over half of shares sold one day before deadline
Zain KSA aimed to raise $1.6bn from the rights issue. (Getty Images)
Zain KSA aimed to raise $1.6bn from the rights issue. (Getty Images)

Share

Zain KSA’s $1.6 billion rights issue had met with a lacklustre response as of Monday, with only 54% of the available shares sold as of 2:00 pm on 16 July 2012, according to Saudi Fransi Capital, the lead manager of the rights issue, which closed yesterday.

“Total subscriptions including debt conversion of SAR 2,546 million stood at approximately 325 million shares or 54% of the rights issue,” Saudi Fransi Capital said in a statement.

The last day for the rights issue was Tuesday 17th. Receiving banks continued to accept subscription forms until 5:00pm whilst electronic applications continued to be accepted until 11.59pm.
The transaction is fully underwritten by a syndicate of underwriting banks led by Saudi Fransi Capital and Al Rajhi Capital.

The syndicate of receiving banks includes Banque Saudi Fransi, Al Rajhi Bank, Alinma Bank, Bank AlBilad, The National Commercial Bank, Samba Financial Group, Saudi Hollandi Bank, Arab National Bank, Bank Aljazira, Riyad Bank, SABB and The Saudi Investment Bank.

Shareholders, eligible to participate in the rights issue, were those who were registered as shareholders at close of market trading on 4 July 2012 prior to the extraordinary general assembly meeting held to approve the company’s capital restructuring plans.

REGISTER NOW | Webinar Event | Security you can bank on – Safeguarding the Middle East’s financial sector

Presented in partnership with security and network specialist Cybereason, the second in the three part webinar series will bring together a panel of experts to discuss how banks and financial institutions are evolving their service offering while simultaneously staying one step ahead of the cyber criminals who seek to bring their operations crashing to the ground.

Editor's Choice

Emerson expands analytics platform for industrial enterprise-level wireless infrastructure management
Plantweb Insight platform adds two new Pervasive Sensing applications that manage wireless networks more efficiently with a singular interface to the enterprise
Digitalisation seen as a competitive advantage by Middle East private businesses
Nearly 80 per cent of private business leaders acknowledge that digitalisation can impact business sustainability
Etisalat introduces Multi-Access Edge Computing architecture delivering best-in-class video streaming performance for 5G networks
MEC architecture achieves performance gains of as much as 90% in video streaming, validating how ultra-low-latency applications will be delivered over 4G and 5G networks

Most popular

Don't Miss a Story