NDB shareholders approve Rs.6.2 b rights issue

Wednesday, 12 September 2018 00:00 - - {{hitsCtrl.values.hits}}

The Shareholders of NDB has approved a capital raising of over Rs. 6.2 billion via a Rights Issue at an Extraordinary General Meeting (EGM) held at the NDB-EDB Tower, a company said in a statement yesterday.

The funds to be raised are primarily to supplement growth and to improve the bank’s Tier I capital adequacy levels. NDB shareholders and the bank’s Board of Directors were present at the EGM. Accordingly, up to 59,154,354 new ordinary voting shares will be issued by NDB by way of a Rights Issue to the shareholders as at the end of trading on 11 September in the proportion of 1:3 ratio at an issue price of Rs. 105.

The Rights Issue was unanimously passed by the shareholders by way of an ordinary resolution.

NDB recorded impressive results for the six months ended 30 June 2018, continuing the strong growth it recorded last year, the statement added.

“This growth is an affirmation that, Transformation 2020, the mid-term strategy launched by the bank in 2017 is delivering the intended results amidst challenging business environment, through clear strategic focus, execution and the commitment of team NDB.”