ADIB board approves proposed Dh1.75 billion rights issue

Dubai: Abu Dhabi Islamic Bank's (ADIB) board has approved a proposal to raise Dh1.75 billion through a rights issue to support the bank's next phase of growth under its Vision 2035 strategy.

The proposed capital raise remains subject to shareholder and regulatory approvals, including approval from the Central Bank of the UAE, ADIB said on Tuesday.

Under the proposal, ADIB will issue 106.383 million new ordinary shares at Dh16.45 each. That represents a discount of about 28.8% to the bank's closing price of Dh23.10 on the Abu Dhabi Securities Exchange on August 24.

Eligible shareholders will be entitled to subscribe for approximately one new share for every 34.14 existing ADIB shares they hold, subject to final terms and rounding arrangements.

ADIB said its major shareholders have confirmed their intention to participate and subscribe for their respective entitlements.

Assets cross Dh300 billion

The proposed capital raising follows a period of rapid balance-sheet growth at ADIB.

Total assets reached Dh304 billion at the end of the first half of 2026, exceeding Dh300 billion for the first time in the bank's history. The milestone followed asset growth of 24% during 2025.

ADIB's return on equity reached 28% in 2024 and increased to 29% in 2025. It stood at 28% during the first half of this year.

The bank said the rights issue would support its growth plans under Vision 2035 while allowing existing shareholders to maintain their proportional ownership by taking up their respective rights.

“ADIB has delivered several years of healthy and consistent growth, supported by the strength of our franchise, market-leading returns and a clear focus on creating value for our shareholders,” ADIB Chairman Jawaan Awaidha Suhail Al Khaili said.

“The proposed rights issue reflects our confidence in the opportunities ahead and in the Bank’s ability to continue delivering sustainable long-term value for our shareholders.”

ADIB targets next phase of growth

Group Chief Executive Officer Mohamed Abdelbary said crossing Dh300 billion in assets marked an important point in the bank's expansion.

“Reaching more than AED 300 billion in total assets for the first time is an important milestone for ADIB and reflects the significant progress we have made in growing our business and customer franchise,” Abdelbary said.

He said Vision 2035 provides the bank with a roadmap to accelerate its next phase of growth.

“Our focus remains on sustaining healthy and profitable growth, deploying capital efficiently and continuing to deliver attractive and sustainable long-term returns for our shareholders,” he said.

The transaction has not yet received final approval. ADIB said it will announce further details after obtaining the required regulatory and shareholder approvals.