National Industries Group Holding (NIGH) and Kuwait Financial Centre “Markaz” announced, in a joint statement, the successful completion of NIGH’s capital increase, raising a total value of KWD 104 million through the issuance of 524,733,305 ordinary shares at a subscription price of 200 Kuwaiti fils per share, representing 35% of the issued and paid-up capital of the company. The subscription period for the rights issue ran from 3 April to 21 April 2022, which witnessed a large turnout, as demand exceeded the number of shares offered with a subscription coverage rate of 348%.
Preemption rights were traded on Boursa Kuwait from 3 to 14 April 2022, at a reference price of 81 Kuwaiti fils per right on the first day of trading, which resulted in the trading of a total of 55,899,476 preemption rights with a total value of KWD 3,501,648, reflecting the high demand for subscription by shareholders and other investors who benefited from the trading of preemption rights.
Mr. Ahmed Mohamed Hassan, Chief Executive Officer of National Industries Group Holding, expressed his contentment with the success of the subscription process and the notable turnout of shareholders, which reflects their confidence in the group’s quality, performance, and reputation, and manifest likewise the professionalism of Markaz in managing the subscription. Mr. Hassan stated that the subscription process fulfilled all the necessary legal requirements for the capital increase process, and the proceeds from the capital increase will support the group’s business development, revenue growth and its future plans and objectives.
Further, Mr. Hassan commented, “We appreciate the roles of both, Boursa Kuwait and the Kuwait Clearing Company, in the capital increase process, and we are grateful for Markaz’s role in managing the subscription with the utmost professionalism.”
Mr. Ali H. Khalil, Chief Executive Officer (CEO) at Markaz, stated on this occasion, “we take pride in the outstanding successful subscription and our role as the Lead Manager and Subscription Agent to contribute to this success, as demand has surpassed the subscription offering by more than three times, which emphasizes the shareholders’ confidence in the group’s performance. We are thankful to National Industries Group Holding for its valuable trust in Markaz’s expertise to manage the subscription for its capital increase. We were keen on performing our role as the Lead Manager and Subscription Agent with the utmost commitment and efficiency, achieved through our team’s capabilities and experience in the capital markets sector”.
Mr. Khalil added: “The outstanding success reinforces the position of “Markaz” today as one of the most credible and experienced investment banking institutions, locally and regionally. We strive to introduce unprecedented capabilities and potential supported by our specialized teams, to be able to fulfil our clients’ diversified demands in the investment banking sector since Markaz embarked on its journey in 1997.”