Independent Petroleum Group announces completion of capital increase procedures
KUWAIT: The Independent Petroleum Group (IPG) and Kuwait Financial Centre “Markaz” announced, in a joint statement, completion of the subscription procedures for IPG capital increase with a total value of KD 10.847 million through issuing 36.158 million shares at a subscription price of 300 fils per share. The impact of the capital increase will be reflected in the financial statements for the period ended on 30 June 2017. The subscription was completed on 7 June 2017 and the allocation period was completed on 14 June 2017.
The Independent Petroleum Group has valued the role of the Capital Markets Authority for their rapid response and support during the capital increase process, Kuwait Financial Centre “Markaz”(Issue Manager, Underwriter & Subscription Agent) and Al-Hossam Legal Al Taraki & Partners Law Firm (Issuer Legal Advisor).
Khalaf A Al-Khalaf, Chairman of the Independent Petroleum Group said that the subscription process in the capital increase of the company has met all the legal procedures in accordance with the instructions of the Capital Markets Authority regarding the issuance of shares. In addition to the fact that the issue was very strong and was fully covered by the current and new shareholders.
Al-Khalaf stated, “We are pleased that the capital increase has been completed. The demand for the shares of the capital increase reflects the investors trust in the company and strength and stability of the Kuwaiti financial market, despite the unstable economic conditions in the region. The proceeds of capital increase will be used in developing the company’s operations and enter into new projects. IPG is currently expanding its operations in Saudi Arabia, East Africa and Morocco.”
Manaf A Al-Hajeri, Chief Executive Officer of Kuwait Financial Centre “Markaz” stated that the capital increase was the first of Independent Petroleum Group since 2005, which will support the company’s expansion into current projects in the markets in which IPG operates and will help in entering new projects in other markets.
Al-Hajeri added, “Recognizing the importance of financial markets in supporting the stability of the Kuwaiti economy, Markaz is always keen to contribute to the development and strengthening of the stock market through participation in capital increases of public companies as well as publishing research and periodic reports on the financial markets. Markaz Capital Markets teamhas over 19 years of experience and has managed 16 capital increases in additional to listing and bond issuance transactions and we are proud to be associated with the Independent Petroleum Group to make this capital increase successful.”