SECURITIES & EXCHANGE COMMISSION’S APPROVAL OF THE BASIS OF ALLOTMENT FOR UBA’S RIGHTS ISSUE, PUBLIC AND SUPPLEMENTARY OFFERS
The offer for subscription of 1,127,400,000 ordinary shares for Naira 35 per share and rights issue of 423,600,000 ordinary shares for Naira 34 by United Bank for Africa (“UBA”) Plc was over-subscribed by approximately 100% from local and international investors with total demand at about US$806 million.
As a result of the significant business opportunities that have arisen since the time of the offer in April, UBA now believe that additional capital is required. UBA thus sought and received approval from the Nigerian Securities and Exchange Commission (“SEC”) for a supplementary allotment of 1,287,965,107 ordinary shares for Naira 35 to cater for the large number of investors who did not benefit from the allotment exercise of the original offer. The supplementary offer brought the total subscription to about US$749 million instead of the original offer size of US$426 million. The bank returned applications valued at US$57 million.
In accordance with previously announced plans, UBA expects to use the total proceeds in the following manner:
| Branch Upgrade |
13.75% |
| Domestic, International Expansion |
46.88% |
| ATM Roll out |
15.62% |
| Operating Resources |
13.75% |
| Office & Process Automation |
6.25% |
| Non-ATM Electronic Channels |
3.75% |
In the next 30 days, UBA will issue share certificates to investors and simultaneously apply to the Nigerian Stock Exchange to list the new shares. UBA expects that the shares will be traded by the end of October 2007.
After the issuance of shares under the abovementioned offers and accounting for the conversion of outstanding convertible loans to Kingdom Zephyr Africa Management Company and the International Finance Corporation, UBA had a total share capital of 11,496,779,980 shares at 30 September 2007.
Investors who participated in the offer will be eligible for dividends from the bank’s results for the year ended 30 September 2007 if they remain shareholders at the date of closure of the shareholders’ register. The shareholders’ register is closed at the AGM, which is expected to be some time in January. The exact date will be announced in due course.
KEY INVESTOR CONTACT
If you have any queries in relation to this matter, please address them to:
David Ellis, Head of Investor Relations
Head of Investor Relations
United Bank for Africa Plc
3rd Floor, 2-4 King Street
London SW1Y 6QU
D:+44 20 7766 4626
F: +44 20 7766 4601
E: david.ellis@ubagroup.com
GLOBAL INVESTOR SERVICES
If you require custodial services, please contact:
Mrs Toyin Sanni
UBA Global Investor Services
D: +234 1 271 3820
M: +234 8035393939
M: +234 8022238330
E: sanni.oluwatoyin@ubagroup.com
Please find below the complete allotment tables for the offer.
Initial Allotment |
| |
|
|
|
|
| Range |
No of Holders |
No. of Units Requested |
% Alloted |
Units Allotted |
| |
|
|
|
|
| Preferential Allotment |
|
|
|
742,857,143 |
| Less than 500 |
21,786 |
10,893,000 |
100% |
10,893,000 |
| 501-10,000 |
60,810 |
146,809,300 |
100% |
146,809,300 |
| 10,001 - 50,000 |
4,618 |
117,925,500 |
70% |
82,547,850 |
| 50,001 - 200,000 |
824 |
83,409,100 |
70% |
58,386,370 |
| 200,001 - 500,000 |
173 |
58,151,700 |
20% |
11,630,340 |
| 500,001 - 1,000,000 |
55 |
47,141,600 |
5% |
2,357,080 |
| 1,000,001 - 1,000,000,000 |
89 |
2,158,326,499 |
3% |
71,918,917 |
|
|
|
|
1,127,400,000 |
|
|
|
|
|
Supplementary Allotment |
| |
|
|
|
|
| Range |
No of Holders |
Outstanding from Offer |
% Allotted |
Units Allotted |
| |
|
|
|
|
| Preferential Allotment |
- |
- |
- |
- |
| Less than 500 |
- |
- |
- |
- |
| 501-10,000 |
- |
- |
- |
- |
| 10,001 - 50,000 |
4,618 |
35,377,650 |
100% |
35,377,650 |
| 50,001 - 200,000 |
824 |
25,022,730 |
100% |
25,022,730 |
| 200,001 - 500,000 |
173 |
46,521,360 |
100% |
46,521,360 |
| 500,001 - 1,000,000 |
55 |
44,784,520 |
97% |
43,272,920 |
| 1,000,001 - 1,000,000,000 |
89 |
2,086,407,582 |
55% |
1,137,770,447 |
|
|
|
|
1,287,965,107 |
|
|
|
|
|
| Rights Allotment |
| |
|
|
|
|
| Range |
No of Holders |
No. of Units Requested |
% Allotted |
Units Allotted |
| |
|
|
|
|
| Rights Issue |
|
294,486,302 |
100% |
294,486,302 |
|
|
|
|
294,486,302 |
|
|
|
|
|
Total Offer Allotment |
| |
|
|
|
|
| Range |
No of Holders |
No. of Units Requested |
% Allotted |
Units Allotted |
| |
|
|
|
|
| Preferential Allotment |
- |
- |
- |
742,857,143 |
| Less than 500 |
21,786 |
10,893,000 |
100% |
10,893,000 |
| 501-10,000 |
60,810 |
146,809,300 |
100% |
146,809,300 |
| 10,001 - 50,000 |
4,618 |
117,925,500 |
100% |
117,925,500 |
| 50,001 - 200,000 |
824 |
83,409,100 |
100% |
83,409,100 |
| 200,001 - 500,000 |
173 |
58,151,700 |
100% |
58,151,700 |
| 500,001 - 1,000,000 |
55 |
47,141,600 |
97% |
45,630,000 |
| 1,000,001 - 1,000,000,000 |
89 |
2,158,326,499 |
56% |
1,209,689,364 |
|
|
|
|
2,415,365,107 |
|
|
|
|
|
| Total Allotted (Rights + Public Offer) |
|
|
2,709,851,409 |
|
|
|
|
|
|
