Standard Chartered PLC announced yesterday a placing of new equity shares to raise approximately $1.6 billion, through accelerated book building process, for business growth in key strategic markets in Asia, Africa and the Middle East.
The London-based bank stated that the book will open with immediate effect and the closure, pricing and allocations are at the discretion of the book runners and Standard Chartered. The placing price will be announced as soon as practicable after the closure of the book building exercise.
The book building will be managed by JP Morgan Cazenove Ltd. and UBS Investment Bank.
The placed shares will be credited as fully paid and will rank pari passu in all respect with the existing ordinary shares of $0.50 each. The shares will be listed in the London and Hong Kong stock exchanges for trading.
In May 2009, the shareholders of the bank approved the issue of around 379 million new ordinary shares and the new placing will be issued under the general mandate.
In December 2008, Standard Chartered raised approximately $2.67 billion through a rights issue, the proceeds of which have been used to strengthen the bank's capital base during the uncertain volatile economic environment.