ADIB Offers One New Share for Every 34.14 Held as Assets Surpass Dh300 Billion.
Dubai: Abu Dhabi Islamic Bank (ADIB) shareholders have approved a rights issue aimed at raising approximately Dh1.75 billion ($476 million), with the proposal receiving backing at the bank’s General Assembly on Tuesday, October 6.
ADIB said the additional capital will be used to support its growth plans under the bank’s Vision 2035 strategy.
The rights issue will comprise 106.383 million new shares priced at Dh16.45 each, representing a 28.8 per cent discount to the bank’s closing share price on August 24.
Once completed, ADIB’s issued and paid-up share capital will increase from Dh3.632 billion to approximately Dh3.738 billion.
Each new share will have a nominal value of Dh1, along with a share premium of Dh15.45. Major shareholders have already committed to subscribing to their respective entitlements, according to information disclosed when the bank’s board approved the proposal on August 25.
ADIB will now announce the record date, rights trading period and subscription period. The timetable remains subject to the necessary regulatory and supervisory approvals.
Supporting Vision 2035
ADIB Chairman Jawaan Awaidah Al Khaili said shareholder approval demonstrated confidence in the bank’s strategic direction.
He said the additional capital would further strengthen ADIB’s financial position and provide support for growth opportunities under Vision 2035, while maintaining the bank’s focus on delivering long-term value for shareholders.
Mohamed Abdelbary, Group Chief Executive Officer of ADIB, said the bank’s business model continues to generate strong returns and that the additional equity would provide greater capacity to finance future growth while preserving capital strength.
He added that ADIB would remain disciplined in deploying the additional capital, with a focus on generating sustainable returns for shareholders.
ADIB’s total assets reached Dh304 billion ($82.8 billion) at the end of the first half of 2026, following 24 per cent growth during 2025.
The bank reported a return on equity of 28 per cent in 2024, rising to 29 per cent in 2025 before standing at 28 per cent during the first half of 2026.
UAE banks turn to rights issues
Several UAE banks have used rights issues to raise additional capital in recent years.
Abu Dhabi Commercial Bank (ADCB) approved a Dh6.1 billion ($1.66 billion) rights issue on September 8, 2025. The offering comprised 592.2 million new shares priced at Dh10.30 each, representing a 30 per cent discount.
Subscriptions closed on December 4, 2025, with funded commitments exceeding Dh12 billion ($3.27 billion). ADCB described the transaction as the largest rights issue by a company primarily listed on the Abu Dhabi Securities Exchange (ADX).
Sharjah Islamic Bank followed with a Dh2.59 billion ($705 million) rights issue that closed on May 8, 2026. Demand exceeded Dh8.3 billion ($2.26 billion), resulting in the offer being covered more than 3.2 times.
Foreign investors accounted for approximately 55 per cent of subscriptions. The bank described the transaction as the second-largest rights issue on ADX in two decades.
Emirates NBD previously completed a rights issue in 2019, while ADX introduced rights trading in 2014, when Eshraq Properties raised Dh600 million ($163 million).
