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Thu 24 Sep 2015 11:33 AM

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Malaysia's RHB delays $575m rights issue after Aabar cap

Abu Dhabi's Aabar is RHB's second biggest shareholder and its major foreign shareholder

Malaysia's RHB delays $575m rights issue after Aabar cap
(Image courtesy: www.ipic.ae)

RHB Capital Bhd, Malaysia's fourth largest bank by assets, has postponed a 2.5 billion ringgit ($575 million) rights issue by almost two months, it said in a stock exchange filing on Wednesday.

The delay comes after the central bank's order to limit Aabar Investment PJS's subscription option to only 15 percent of the rights issue, instead of 21.9 percent as per its shareholding entitlement.

Abu Dhabi's Aabar is RHB's second biggest shareholder and its major foreign shareholder, according to Thomson Reuters data.

"The entitlement date for the rights issue has now been extended from October 1, 2015 to Nov. 23, 2015 to allow time for the board to engage with the relevant regulators and to deliberate and implement the rights issue in the most efficient manner, after considering the order," RHB said.

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