KUWAIT: Following all regulatory approvals, Gulf Bank announced that the subscriptions period for the capital increase will start from Sunday (Oct 29, 2023) until Sunday (Nov 12, 2023). Gulf Bank has obtained the approval of the Central Bank of Kuwait and the Capital Market Authority to increase its issued and paid-up capital by KD 26.1 million through a public offering, with rights issue of 260,869,565 new ordinary shares at a nominal value of 100 fils, in addition to a share premium of 130 fils per share, for a total offering price of 230 fils per share.

Jassim Mustafa Boodai

The total proceeds will result in an increase in the Bank’s capital base by KD 60 million. It is noteworthy that Gulf Bank has appointed Kamco Invest as the Joint Lead Issuance Manager and Subscription Agent and Gulf Bank itself is also acting as the Joint Lead Issuance Manager and Subscription Agent.

On this occasion, Gulf Bank’s Chairman, Jassim Mustafa Boodai, said: “With this additional capital, we are well-equipped to strengthen our regulatory capital, invest in our future strategic growth and continue providing exceptional products and service to our customers” Boodai further pointed that as of 30 June 2023, Gulf Bank Capital Adequacy Ratio was 16.1 percent and the Tier 1 Ratio was 13.9 percent, both above their regulatory requirement.

Thus, total proceeds from the Capital Increase will further enhance the Bank’s regulatory capital ratios. Boodai also highlighted that Gulf Bank remains an ‘A’ rated bank from three major credit rating agencies.

Concluding his statement, Jassim Mustafa Boodai expressed his appreciation to all the regulatory authorities for their cooperation in completing the necessary approvals, namely: The Central Bank of Kuwait, the Capital Markets Authority, Boursa Kuwait, as well as the Ministry of Commerce and Industry.