Business / Companies
Kingdom Bank funded income grows by 283 percent
15 Aug 2011 at 04:20hrs | Views
Kingdom released a fair set of interim results showing a 51% year on year growth in attributable earnings to $2.3 million. Earnings growth was driven by the 283% growth in funded income on the back of a 51% increase in advances. Cost to income ratio improved to 85% from 95%, although it remains high. Staff costs comprised approximately 43% of total opex. The Zimbabwe operations contributed approximately 71% to group profit before tax (PBT) (up from 69% the prior period). All group units contributed positively to group PBT.
The Group's balance sheet increased 12% to $189.5million on the back of a 51% growth in advances. Impairments to total advances were 1.1%. The bank's CAR was 1.9% against a regulatory minimum of 10%.
The directors shall seek shareholder approval for the re-listing of KFHL on the ZSE at a forthcoming EGM, set for Friday 09 September 2011. The directors will also seek an approval of a re-capitalisation plan at the EGM.
Shareholders are advised that an EGM of the Company shall be held at the Celebration Centre, on Friday 09 September at 1000hrs to consider the following resolutions:
1. The Directors be authorised to raise $15.0million through the issue of 493,421,053 shares at an issue price of $0.0304 a share involving raising $4.5 million through a rights offer, $7.5 million through a private placement and $3.0 million through a public offering.
2. The Directors be authorised to enter into negotiations with shareholders of Kingdom Bank Africa Limited and Amara Tech (Proprietary) Limited and acquire the issued shares.
3. The Directors be authorised to embark on a share buy back and purchase approximately up to 10% of the share capital.
4. That the issued share capital of the Company post the rights issue be listed on the ZSE, JSE and/or Stock Exchange of Mauritius.
5. The unissued shares of the Company after the rights issue be placed under the control of the Directors.
6. As a special resolution - The authorised share capital of 591,328,170 ordinary shares of $0.001 each be increased to 1,000,000,000 shares of $0.001 each.
7. As a special resolution - The Directors be authorised to raise $10 million through the issue of 6,640,106 redeemable convertible preference shares at an issue price of $1.506 each.
The Group's balance sheet increased 12% to $189.5million on the back of a 51% growth in advances. Impairments to total advances were 1.1%. The bank's CAR was 1.9% against a regulatory minimum of 10%.
The directors shall seek shareholder approval for the re-listing of KFHL on the ZSE at a forthcoming EGM, set for Friday 09 September 2011. The directors will also seek an approval of a re-capitalisation plan at the EGM.
Shareholders are advised that an EGM of the Company shall be held at the Celebration Centre, on Friday 09 September at 1000hrs to consider the following resolutions:
1. The Directors be authorised to raise $15.0million through the issue of 493,421,053 shares at an issue price of $0.0304 a share involving raising $4.5 million through a rights offer, $7.5 million through a private placement and $3.0 million through a public offering.
3. The Directors be authorised to embark on a share buy back and purchase approximately up to 10% of the share capital.
4. That the issued share capital of the Company post the rights issue be listed on the ZSE, JSE and/or Stock Exchange of Mauritius.
5. The unissued shares of the Company after the rights issue be placed under the control of the Directors.
6. As a special resolution - The authorised share capital of 591,328,170 ordinary shares of $0.001 each be increased to 1,000,000,000 shares of $0.001 each.
7. As a special resolution - The Directors be authorised to raise $10 million through the issue of 6,640,106 redeemable convertible preference shares at an issue price of $1.506 each.
Source - Byo24News
