‘Pre-emption right subscription in shares exceed expectations’

Warba Bank closes online subscription service on great turnout

KUWAIT CITY, Dec 10: Warba Bank announced that, by Blessing of Allah, the Almighty, the offering period for share capital increase was closed on Dec 9 as the total issue shares has been oversubscribed during the period designated for exercising the pre-emption right. Therefore, no public subscription will be held for non-shareholders. The shares’ allocation will be made within five business days and the paid amounts will be refunded within five business days as well. The bank noted the strong demand for the online subscription and payment through K-net at the websitehttps://www.ipo.

Shaheen Alghanem

com.kw, the unprecedented service exclusively offered by Warba Bank to shareholders wishing to subscribe for 16,500 shares or less. The total share capital offering amounted 90 million (KD 50 million par value + 40 million share premium) and the offer price was 180 fils, of which 100 fils par value and 80 fils share premium.

Shaheen H. Alghanem, Chief Executive Officer of Warba Bank, said: “Thanks to Allah, the offering period designated for the pre-emption right of the bank’s share capital increase has exceeded all expectations and witnessed a huge turnout as we have already expected. The Online IPO Service, through the website has been tremendously used, attracting a great number of shareholders saving them the time and efforts.” He added: “We value our shareholders’ confidence in the bank’s performance and solid position as well as we appreciate the recognition that Warba Bank enjoys today amongst both customers and investors as a result of the sustainable growth of all the bank’s operations, particularly the financing and investment portfolio.”

Alghanem asserted that the bank is keen to further boost its customers’ confidence and expand operations. He stressed that the share capital increase will be utilized in strategic long-term investments, reinforcing the maximum exposure limit to a single obligor, which will provide more opportunities to increase the size of the bank’s financing portfolio, acquire new customer categories, expand business operations and cross-selling opportunities; and increasing the maximum investment limit, which will positively enhance and lead to the growth of the investment portfolio.

The capital increase will support investment in the long-term capital expenditures thus enhancing the bank’s growth and ability to take part in financing mega development projects that further enhance the growth of the national economy.

It’s worth mentioning that the bank’s staff have exerted great efforts during the subscription process, following up the subscribers’ affairs and responding to their inquiries around the clock via the bank’s platforms on social media networks. In addition, throughout the subscription period, Warba Bank team was attending from 9 am to 1 pm and 4 pm to 7pm at Kuwait Clearing Company “the subscription venue”.