Family Bank has received formal approval from shareholders to offer up to 800 million new shares through a rights issue. This will increase the Bank’s authorized Ordinary shares from 1,500,000,000 Ordinary Shares to 2,300,000,000 Ordinary Shares.
Through this increase in Ordinary shares, the Bank targets to raise to KES 10 billion in the medium term. The capital raise will be achieved through a mix of a rights issue and from new shareholders via a private placement.
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The funds raised through the rights issues will strengthen the bank’s capital base, for local and regional growth plans, driving investments in IT infrastructure and new product initiatives, and supporting onward lending activities.
“Through this capital raise, we are positioning the Bank for the next phase of growth which will position the bank as a choice bank for our existing and potential clients through customer-first service delivery not only in Kenya but also in the region,” added Rebecca Mbithi.
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