NIC shareholders approve Sh2b Rights Issue

By: Victoria Rubadiri 2 min read
NIC shareholders approve Sh2b Rights Issue
The Rights Issue that is subject to approval by the Capital Markets Authority is to raise additional capital of Sh2 billion/FILE

The Rights Issue that is subject to approval by the Capital Markets Authority is to raise additional capital of Sh2 billion/FILE
NAIROBI, Kenya, May 3 – NIC Bank Group shareholders have approved its planned Rights Issue at an Annual General Meeting, making it the second listed firm to tap the capital markets this year.

The Rights Issue that is subject to approval by the Capital Markets Authority is to raise additional capital of Sh2 billion.

Shareholders also approved a bonus issue for one new ordinary share for every 10 ordinary shares held, which will be carried out after the Rights Issue.

Shareholders who take up their rights will also be entitled to receive additional bonus shares relating to the shares issued under the Rights Issue.

NIC Bank Group intends to use the additional capital to fund its growth both regionally and locally and enhance its technology platform.

NIC Bank Group Ltd reported a Sh705.8 million net profit for the first quarter ended March 31, 2012 representing a 5 percent increase from the same period last year.

Earnings per share grew to Sh1.79 this year as at March compared to Sh1.32 posted for the same period the previous year.

Victoria Rubadiri

Victoria Rubadiri

Victoria is a graduate of Temple University in Philadelphia, Pennsylvania with a bachelor’s degree in broadcast journalism. She has experience working as a freelance PR consultant in New Jersey and New York, as well as broadcast media at WMGM NBC 40 television station in Linwood, New Jersey. Her interests are in youth issues; mentoring teens both in the US and Kenya, for the past three years.