Abu Dhabi Islamic Bank shareholders approved an AED1.75 billion rights issue at a general assembly held on 6 October. The bank expects the offer to raise approximately AED1.75 billion in gross proceeds. A result filed with the Abu Dhabi Securities Exchange recorded attendance representing 67.48% of the bank’s capital. The vote advanced an August board proposal, although the issue still requires remaining regulatory and supervisory approvals.
The offer comprises up to 106,383,000 new shares priced at AED16.45 each. That price includes AED1 of nominal value and an AED15.45 share premium. Completion would raise issued and paid-up share capital from AED3.632 billion to as much as AED3.738383 billion. The final capital increase will depend on subscription take-up and approval from the Capital Market Authority after the offer closes.
SHAREHOLDERS AUTHORISED THE CAPITAL INCREASE
Eligible investors are expected to receive rights to subscribe for about one new share for every 34.14 existing shares held. The AED16.45 issue price represents a discount of approximately 28.8% to ADIB’s AED23.10 closing price on 24 August. Shareholders also authorised the board to determine final offer terms, the subscription period and the number of shares ultimately issued.
The new shares will be offered to existing shareholders on a pro-rata basis. The assembly allowed the board to accept the amount subscribed without offering any remaining shares to the public. The completed transaction may therefore be smaller than the maximum if shareholders do not take up all their rights.
PROSPECTUS WILL SET THE TIMETABLE
ADIB said it would publish a prospectus containing the record date, rights-trading period, subscription window and final terms. The timetable remains subject to the necessary regulatory and supervisory approvals. Shareholder approval is consequently a material transaction milestone, not completion of the capital raise.
The bank said the additional equity would support expansion under its Vision 2035 strategy after total assets reached AED304 billion at the end of the first half of 2026. ADIB reported asset growth of 24% in 2025 and a 28% return on equity in the first half of 2026. The next points to watch are publication of the prospectus, the remaining approvals and the level of shareholder take-up.