ADIB opens AED 1.75 billion rights issue at 28.8% discount

Summary

• Abu Dhabi Islamic Bank is offering up to 106,383,000 new shares at AED 16.45 each.
• The price sits 28.8% below the bank's 24 August 2026 closing price.
• Shareholders must subscribe between 10 and 24 November or accept dilution.

The latest

Abu Dhabi Islamic Bank is raising up to AED 1.75 billion through a rights issue priced at AED 16.45 per share, a 28.8% discount to its 24 August 2026 close. The bank said the proceeds will support its next growth phase under its 2035 vision, lifting paid-up capital above AED 3.73 billion.

Details

• The size: The bank is offering up to 106,383,000 new shares, each with a nominal value of AED 1.00, for total proceeds of up to AED 1,750,000,000, according to its disclosure filed with the Abu Dhabi Securities Exchange on 12 October 2026.
• The pricing: Each share is priced at AED 16.45, made up of the AED 1.00 nominal value plus an issue premium of AED 15.45. The bank set that level at a 28.8% discount to the closing price recorded on 24 August 2026.
• The window: Subscription runs from 10 to 24 November 2026, a 15-day window. Shareholders who do not take up their entitlement within that period see their proportional ownership reduced once the new shares are issued.
• The record date: Eligibility is fixed at the close of trading on 2 November 2026. Only shareholders on the register at that cut-off receive rights, leaving roughly a week between the record date and the opening of the subscription period.
• The capital effect: Issued capital rises from AED 3,632,000,000 to as much as AED 3,738,383,000 if the offer is fully taken up, an increase of about 2.9% in the number of shares outstanding.
• The stated purpose: ADIB said the raise is intended to support its next phase of growth under its 2035 vision. The disclosure did not break down how the proceeds will be allocated across business lines or capital ratios.
• The channel: The offer was published as an official disclosure on the Abu Dhabi Securities Exchange, the regulated route for capital increases by listed UAE issuers, dated 12 October 2026.
• Left unstated: The bank did not name an underwriter, did not disclose the treatment of unsubscribed shares, and did not set a listing date for the new stock.

Background

Rights issues give existing shareholders first claim on new stock, usually at a discount to the market price. The discount compensates for the dilution that follows; shareholders who decline see their stake shrink relative to those who subscribe.

Between the lines

The 28.8% discount is wide for an investment-grade Gulf lender and is measured against an August reference price rather than a date close to the offer. With the capital increase limited to about 2.9% of shares outstanding, the pricing looks calibrated to secure full take-up quickly rather than to raise the maximum amount per share.

What's next

The register closes on 2 November 2026, subscription opens on 10 November and closes on 24 November. Watch for ADIB's announcement of final take-up levels and the listing of the new shares on the Abu Dhabi Securities Exchange.

Source: Abu Dhabi Securities Exchange disclosure — Abu Dhabi Islamic Bank