FAB to raise $4.08bn to boost next phase of growth strategy
First Abu Dhabi Bank plans to raise Dh15 billion ($4.08 billion) through a rights issue as it prepares for “the next phase” of its growth strategy across the UAE and its global portfolio. The UAE's biggest bank will be offering 1,109,467,456 new shares, with each to be offered at Dh13.52, a 30 per cent discount on its closing share price on Tuesday, a FAB statement on Wednesday said. Mubadala…
First Abu Dhabi Bank (FAB) intends to generate Dh15 billion ($4.08 billion) via a rights offering as it prepares to advance "the next phase" of its growth strategy across the UAE and its global operations. The bank will be issuing 1,109,467,456 fresh shares at a price of Dh13.52 each, which represents a 30 percent discount off its closing share price on Tuesday, according to a statement released by FAB on Wednesday.
Mubadala Investment Company, the bank's largest shareholder, intends to purchase its full pro-rata allocation, indicating its "unwavering confidence" in FAB's approach and future growth potential. This move by Mubadala underscores its commitment to FAB's strategic objectives and underscores its long-term growth prospects.
Sheikh Tahnoon bin Zayed, chairman of FAB, emphasized that the UAE is actively pursuing a bold long-term economic agenda, characterized by diversification, investment, innovation, and an increasingly influential role in global trade and capital flows. FAB, according to the chairman, serves as the linchpin of this expansion, facilitating strategic investments throughout the UAE and internationally.
The proposed rights issue will further enhance FAB's capacity to support the UAE's aspirations and seize forthcoming opportunities. Additional information will be provided subsequently.
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