Amãna Bank to hold EGM on July 4

Amãna Bank will be holding an extraordinary general meeting (EGM) on July 4, 2017 in order to get the shareholder endorsement for the bank’s forthcoming rights issue. 
The bank has also received in principle approval from the Colombo Stock Exchange for the listing of additional shares issued through way of rights. The notice of meeting has been already circulated informing such to the shareholders.
The objective of the rights issue is to increase the bank’s core capital as per the regulatory requirements to Rs.7.5 billion by July 31, 2017 and subsequently to Rs.10 billion by January 2018. 
Through issuing 1,250,695,267 new shares at Rs.3.80 per share in a ratio of one new ordinary share for every one ordinary share held (1:1), the bank intends to reach the Rs.10 billion mark well ahead of the stipulated timelines. 
The issue price of Rs.3.80 is offered at a discount of 86 cents in comparison to the bank’s net asset value of Rs.4.66 per share, which was posted at the end of 1Q 2017. The bank has already received commitment from both its local and foreign shareholders to subscribe to the issue, including the Islamic Development Bank Group, which plans to up their group shareholding to 29.99 percent.