StanChart: 98.5 percent take-up for $5.3 billion cashcall

LONDON (BestGrowthStock) – Standard Chartered (STAN.L: ) said investors representing 98.5 percent of its shares signed up for its $5.3 billion rights issue, which will boost the Asia-focused bank’s capital ahead of tougher global rules.

Standard Chartered (2888.HK: ) on Sunday said it had received valid acceptances in respect of 256.7 million shares offered to shareholders. Bookrunners will sell the shares not taken up, probably early on Monday.

The offer — the third-biggest rights issue this year after Deutsche Bank (DBKGn.DE: ) and UniCredit (CRDI.MI: ) — gave investors the chance to buy one new share at 1,280 pence for every eight owned. The bank’s London listed shares closed at 1,950 pence on Friday.

Standard Chartered said it wanted to continue to seize opportunities across Asia, Africa and the Middle East and tougher capital rules could have constrained its asset growth unless new cash was raised.

(Reporting by Steve Slater; Editing by Marguerita Choy)

StanChart: 98.5 percent take-up for $5.3 billion cashcall