NAIROBI, Kenya, Nov 4 – I&M Bank Rwanda has raised Sh887 million in the just-concluded rights issue at the Rwanda Stock Exchange.
The rights issue closed with an oversubscription of 12 percent at RWF 39.60 (Sh4.39) per share.
The Rights Issue was undertaken to secure long-term funding to accelerate investment in technological platforms and bolster the Bank’s Tier 1 Capital Adequacy Ratio.
Faida Securities Rwanda and I&M Burbidge Capital were the Joint Lead Transaction Advisors for the I&M Bank (Rwanda) Plc 2020 Rights Issue.
“Despite the effects of the COVID-19 pandemic, we are proud to partner with the bank in this transaction and are optimistic about the Bank’s growth prospects. I&M Bank Rwanda has a track record of offering high Return on Average Equity and is a strong dividend counter,” said Rina Hicks, Chief Operations Officer at Faida Securities Rwanda an associate company of Faida Investment Bank.
Hicks added that added going forward, growth will be driven by the Bank’s current strategy which largely focuses on increasing their MSME offering and leveraging digital banking to enhance efficiency and revenue diversification.
“We are delighted to have advised on this successful transaction. The advisory teams and the Bank’s transaction team worked extremely hard to complete this within the timeframes, and the highly successful outcome is a testament to the professional approach of the advisory teams as well as I&M Bank’s fantastic performance record and reputation in the market,” noted Gauri Gupta, Director at I&M Burbidge Capital.
I&M Bank Rwanda has grown steadily over the past five years and the results of this Rights Issue demonstrate the commitment by its shareholders to continue to be a part of the Bank’s sustainable growth story.