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Tue 26 Mar 2013 03:14 PM

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Doha Bank says $426m rights issue 1.8 times oversubscribed

Right issues from Qatar’s fifth largest lender by market value is worth 25 percent of the bank’s existing share capital

Doha Bank says $426m rights issue 1.8 times oversubscribed
CEO Raghavan Seetharaman

Doha Bank, Qatar’s fifth largest lender by market value, said its rights issue worth QAR1.55m (US$426m) was 1.8 times oversubscribed.

The offer, worth 25 percent of the bank’s existing share capital, was nearly twice oversubscribed during the offer period, the bank said in an emailed statement.

The issue is part of a two-part capital increase aimed at boosting share capital by 50 percent. The second part is an offer of global depositary receipts (GDRs) in London. GDRs will be priced at a minimum of 90 percent of the market share price on the date of issue.

JP Morgan will act as lead manager for the GDR issue, the bank's CEO Raghavan Seetharaman said in January.

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