SHUAA Capital Approves Launch of MCB Tranches, the final step of its Capital Optimization Plan
SHUAA Capital psc (DFM: SHUAA), the leading asset management and investment banking platform in the MENA region, has announced the approval of two Mandatory Convertible Bond (MCB) tranches by its Board of Directors, with a total value of up to AED 425.5 million. This marks the final step in SHUAA’s capital optimization journey, reinforcing its strategic focus on delivering value to shareholders. The issuance remains subject to approvals from shareholders and regulatory authorities.
The first tranche, valued at up to AED 150 million, will be offered through a private placement, with mandatory conversion into shares at AED 0.32 per share. The second tranche, valued at up to AED 275.5 million, will be offered to holders of existing bonds issued by a SHUAA-related special-purpose entity, under the same conversion terms. Both tranches will be converted into equity at the earliest opportunity following issuance, reflecting the company’s commitment to completing this process promptly.
The AED 0.32 per share conversion price reflects SHUAA’s strategic growth trajectory and its enhanced financial position following a transformative year of progress. This pricing aligns with the intrinsic value derived from the company’s strengthened balance sheet and the forward-looking potential of its business. It represents an attractive opportunity for investors seeking to participate in SHUAA’s growth story at a pivotal moment.
As part of SHUAA’s progression, Ahmed Al Ahmadi has concluded his tenure as Managing Director and Board Member. Ahmed played a meaningful role in advancing the company’s capital optimization efforts.
Badr Al-Olama, Chairman of SHUAA Capital, said: “This milestone reflects the strong foundation SHUAA has built over the years. The MCB tranches represent an opportunity for shareholders and investors to participate in the next chapter of our growth story. I am confident that as SHUAA continues to grow and execute its strategy, the value we create will generate significant returns for all stakeholders. I would also like to personally thank Ahmed Al Ahmadi for his dedication and valuable contributions during a critical phase for SHUAA, which have been instrumental in bringing us to this monumental milestone.”
Adding to this, Wafik Ben Mansour, CEO of SHUAA Capital, commented: “The approval of the MCB tranches is a defining moment in SHUAA’s journey to unlock its full potential. This marks the conclusion of a carefully executed plan to strengthen our financial foundation, paving the way for growth and profitability. We are committed to completing this process in the next quarter and to delivering sustainable value to our shareholders. I also want to thank Ahmed Al Ahmadi for his immense contributions during this important phase of our journey.”
Upon completion of its capital optimization plan, SHUAA will enter a new phase of growth, further solidifying its position as a leader in the MENA financial markets and creating enhanced value for its shareholders.
