Published: July 12, 2012
Telecoms company to raise US$1.6bn as part of restructuring plan.
Zain Saudi, the Saudi Arabian subsidiary of Kuwaiti telecoms group Zain, has opened its SAR6bn (US$1.6bn) rights issue.
The fundraising, which closes on July 17, will boost Zain Saudi’s paid-up capital from SAR4.8bn to SAR10.8bn, and is the penultimate stage of the company’s plan to restructure its capital. The money will be used to pay off existing debts and invest in network capacity and services.
The deal, plans for which were announced earlier this month, is lead managed by Saudi Fransi Capital, while Saudi Fransi Capital and Al Rajhi Capital are co-main underwriters and co-financial advisers.
The rights issue is fully underwritten by Saudi Fransi Capital, Al Rajhi Capital, Banque Saudi Fransi, Alinma Bank, Bank AlBilad, The National Commercial Bank, Samba Financial Group, Saudi Hollandi Bank, Arab National Bank, Bank Aljazira, Riyad Bank, SABB and The Saudi Investment Bank.