CBI enters 2nd phase of AED 1 billion capital increase
1/16/2007
Starting at AED 478 million, the capital is now pegged at AED 890 million and is set to reach its intended target by March 2007
keeping with its planned and strategic increase in its capital, CBI, Commercial Bank International has announced its second phase of increase of AED 140 million, pushing the total capital amount presently pegged at AED 890.
The bank is preparing to boost its financial capital strength to AED 1 billion by the 18th of March 2007, from the AED 478 million it started with.
Speaking on the announcement, Khamis Buharoon, the CEO at CBI, “The bank declared stock dividends of 60% to its shareholders in 2005, which raised the capital from AED 299 million to 479 million. This 60% dividend is considered to be one of the best in the market and places CBI at the top rung in the banking industry of the country.
The planned increase in capital from AED 479 million to AED 1 billion will happen in three trenches to achieve a capital increase of 521 million.
The first trench has already been achieved with 34%, amounting to AED 271 million, coming in on 17th September 2006. The second trench 33%, amounting to AED 140 million took place on 17th December 2006 while 33% amounting to AED 110 million is set to take place on March 18 2007.
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