United Arab Bank (UAB), listed on the Abu Dhabi Securities Exchange (ADX), has successfully completed its capital increase through a Rights Issue, concluding on July 29, 2025. The offering raised AED1.031 billion, increasing the bank’s issued capital from AED2.062 billion to AED3.093 billion. Priced at AED1 per share, the newly issued shares were fully approved by all regulatory authorities.
Strong Demand Underscores Turnaround Confidence
The Rights Issue was oversubscribed, signalling strong investor confidence in UAB’s turnaround strategy and growth outlook. The bank confirmed that proceeds will be used to reinforce its capital base and support future business expansion. This marks a significant financial milestone, aligning with UAB’s ongoing efforts to enhance performance and stakeholder value.
H.H. Sheikh Mohammed bin Faisal bin Sultan Al Qassimi, Chairman of the Board of Directors of United Arab Bank, stated, “We are deeply grateful for the trust and support of our shareholders in this Rights Issue. The strong response we have received will further strengthen our balance sheet, mark a new chapter in UAB’s progress, and reaffirm our commitment to delivering value to our shareholders. In addition, it will enhance our financial resilience, and position us to continue contributing to the UAE economy and its sustainable development agenda.”
He further expressed appreciation for the Central Bank of the UAE (CBUAE), the Securities and Commodities Authority (SCA), the Abu Dhabi Securities Exchange (ADX), and transaction partners whose collaboration ensured the Rights Issue’s success.
Capital Boost Aligns with Strategic Growth Phase
The new capital supports UAB’s forward-looking strategy as it builds long-term resilience in a competitive financial landscape. Shirish Bhide, CEO of United Arab Bank, commented, “The success of the Rights Issue reflects the confidence that our shareholders have in the Bank and our future endeavours. This step represents an important milestone in strengthening UAB’s capital position and reinforces our long-term commitment to sustainable growth. The additional capital will support the next phase of our strategy, ensuring we are well-positioned to meet evolving regulatory requirements, support our clients’ needs, and deliver sustainable returns to our shareholders.”
UAB’s solid financial performance further reinforces its trajectory. The bank reported a net profit of AED208 million for the first half of 2025, up 50% year-on-year from AED139 million. Total income also grew by 24% to AED374 million over the same period.
Reaffirming UAB’s Commitment to the UAE Economy
With the successful completion of this capital increase, UAB is poised to play a stronger role in supporting the UAE’s financial ecosystem. The raised capital not only boosts balance sheet strength but also sets the stage for innovation-led growth in alignment with national development goals.
