Today's Edition
ABU DHABI (ALETIHAD)
Sharjah Islamic Bank (SIB) has launched a rights issue to raise gross proceeds of up to Dh2.59 billion, following approval from its General Assembly as part of plans to strengthen its capital base and support future growth.
The capital increase will raise the bank’s issued share capital by up to Dh1.08 billion, from Dh3.24 billion to Dh4.31 billion, through the issuance of up to 1.08 billion new ordinary shares, a statement from the bank said.
The new shares will be offered at Dh2.40 per share, representing a 37% discount to the closing price on February 13, 2026.
The rights issue will be offered to existing shareholders on a pro-rata basis, with one right granted for every three shares held.
Under the rights issue timeline spelt out in the prospectus, shareholders on record as of April 17, 2026 will have the rights credited to their accounts shortly thereafter, typically within one working day.
The rights will be tradable on the Abu Dhabi Securities Exchange from April 20 to May 1, 2026, during which investors can buy or sell them.
The subscription period will run from April 27 to May 8, 2026, after which any unexercised rights will lapse.
SIB said the proceeds from the capital increase will be used to support sustainable asset growth, strengthen its capital base in line with evolving regulatory requirements, and maintain financial flexibility as it expands its balance sheet.
The Government of Sharjah, a major shareholder in the bank through Sharjah Asset Management LLC and Sharjah Social Security Fund, has committed to subscribing in full to its proportional entitlement under the rights issue.
Abdulrahman Alowais, Chairman of SIB, said: “This milestone announcement is testament to our long-term commitment to our shareholders and the UAE investor community. We are pleased to offer our valued and loyal shareholders the opportunity to participate in our continued growth and success as we remain key partners to the growth agenda of the emirate and nation’s governments.”
Mohamed Abdalla, Chief Executive Officer of SIB, said: “This landmark transaction is a pivotal step for SIB, enabling us to accelerate growth and deliver enhanced value for our shareholders. We remain committed to maintaining strong capital foundations and supporting the sustainable development of the Bank.”
Emirates NBD Capital has been appointed as lead manager, with Emirates NBD acting as lead receiving bank and Sharjah Islamic Bank serving as receiving bank for the transaction.
