CAL Bank shareholder discontinues legal action against bank’s GHS 600m Rights Issue
The legal action challenging CAL Bank’s GHS 600m Rights Issue has been discontinued.
The discontinuation of the legal action was communicated by the Bank in a statement copied to the Ghana Stock Exchange (GSE) and seen by norvanreports.
“CalBank is pleased to inform its shareholders that the legal action challenging the Bank’s Rights Issue has been discontinued,” parts of the statement read.
Per the statement, the Bank has received approval from the Securities and Exchange Commission to proceed with the allotment of shares and the remaining activities of the Rights Issue.
A minority shareholder of CAL Bank in April filed for an injunction against the bank’s decision to raise some GHS 600 million in capital.
CalBank turned to its shareholders to raise some GHS 600 million to help recapitalize the financial institution following a recapitalization directive by the Central Bank.
The bank launched its renounceable rights issue, issuing 1.8 billion shares for 29 pesewas per share.
According to the Bank, proceeds from the offer will be used to support the bank’s growth strategy and deliver long-term value to its shareholders.
In the statement seen by norvanreports, CAL Bank notes that credit offer of shares to successful applicants on
the Central Securities Depository (CSD) will take place from 28th June – 5th July 2024.
Additional listing of offer shares for trading on the GSE the bank further noted, will take place on July 8, 2024.
Further noting that the deadline for refunds to unsuccessful applicants for the bank’s rights issue will also be done on July 8, 2024.
Good news