Ecobank in Sh167b rights issue

August 20, 2008

, NAIROBI, August 20 – Ecobank Transnational Incorporated (ETI), the parent company of Kenya’s Ecobank, is set to issue a Sh167.5 billion ($2.5billion) combined Rights Issue and Public Offer, the board members have announced.

ETI is the holding company of the Ecobank Group, the leading independent regional banking group in sub-Saharan Africa with a presence in 25 countries.

The Board’s Chairman Mande Sidibe said the proceeds of the Offer would be utilised to further strengthen Ecobank Group\’s accelerated growth plan to expand its branch- network in countries where it currently operates.

The Offer, which opens on Monday August 25, has been described as not just the biggest so far on the continent, but the first cross border offer.

It is being undertaken simultaneously on the Ghana Stock Exchange, Nigerian Stock Exchange and on the regional stock exchange in Abidjan where ETI is listed

Details of the Offer indicate that 3.7 billion shares are being offered exclusively to ETI shareholders at an equivalent rate of Sh18 ($0.27) per share, in the ratio of 5 new shares for every 9 shares held as at August 18, while 5.1 billion shares are being offered to the public at Sh19.40 ($0.29) per share.

Approvals for the registration and listing of the new shares have been obtained from the relevant regulatory authorities in Nigeria, Ghana and the West African Economic and Monetary Union.

ETI was established as a regional bank holding company in 1985 with its head office in Lome, Togo. It has grown into a full-service regional banking group with over 500 branches and offices and over 8,000 employees across 25 countries in West, Central, East and Southern Africa.

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