Barwa Bank’s QR1.7bn rights issue oversubscribed
ZAWYA DOW JONES
QATAR’S Barwa Bank, a unit of Barwa Real Estate Company, has completed a QR1.7 billion ($467 million) rights issue to boost capital as it eyes growth, the shariahcompliant lender said in a statement on Sunday.
The rights issue subscription that started on December 6, 2011, was covered 113 percent, Barwa said in the statement.
The offering came following shareholder approval to increase the bank’s capital, a move designed to enhance its position as a leading shariah compliant bank in Qatar, Barwa added.
The bank, which intended to raise QR1.7 billion through the offering, said the overall value of shares subscribed reached QR1.9 billion, an over-subscription of QR233 million.
“2011 has been a year of good performance and growth for Barwa Bank and we are confident that 2012 will witness further growth and development.
This capital increase will ensure that we can deliver on our commitment to development of Qatar’s economy and creation of revenue and value to our shareholders,” Barwa Bank Group Chairman Sheik Mohammed bin Hamad bin Jassim al Thani said in the statement.
The successful subscription will increase the bank’s issued capital from QR1.9 billion to QR3 billion. Authorised capital will be increased from the current QR2.5 billion to QR6 billion, Barwa said.