Shares in APS Bank plc began trading on the Malta Stock Exchange (MSE) following the Bank’s hugely successful initial public offering (IPO) last month. The IPO, one of the largest equity offerings in Malta’s capital markets history, closed on the same day it opened after an overwhelmingly positive response from investors.
The Bank set out to raise €66m but saw that raise explode to over €100m in just six hours, with 110,000,000 new ordinary shares offered at €0.62 – which includes the 10 000,000 ordinary shares made available through the over-allotment option – all of which have been subscribed.
Having established itself as Malta’s community bank and one of the main catalysts for sustainable and socially responsible initiatives, the Bank is now ready to use the capital raised to embark on another path of growth and diversification of three year.
Described as the investment opportunity of a lifetime, the IPO saw a total of 69,681,981 shares pre-allocated to a number of investors. The remaining balance of 40,318,019 shares was made available to the public for subscription with applications for a total of 101,611,740 shares received at the time of its closing.
To ensure that retail investors were not excluded, the Bank chose to reduce the allocation of shares to preferred candidates in favor of those who did not qualify as preferred candidates. A total of 516 applications were received from preferred candidates for a total of 15,578,761 shares, of which 72.86% were satisfied and awarded. Requests for 25,000 new shares or less were fully met, while those over 25,000 shares received the first 25,000 new shares and 50% of the balance. A total of 4,430 requests were received from the public, for a total of 86,032,979 shares, with 33.67% of all requests granted and granted. Individual requests for 5,000 new shares or less were fully granted, while larger requests were awarded the first 5,000 shares in full and 13.51% of the balance.
The start of stock trading was marked by the symbolic ‘ringing of the bell’ at the MSE during which the Bank’s CEO, Marcel Cassar, took the opportunity to express his gratitude to the public for the confidence he testified to the Bank. The IPO was born out of a vision that dates back years and still had a lot to offer, he said. “In our cities and towns, we ring bells to announce important events and milestones. We hope to have many more opportunities to ring the bells in the future, including those with an even louder chime.
The shares were listed on the MSE on Friday June 17 and trading began on Monday June 20.
APS Bank is a leading local provider of retail and commercial banking, investment management, syndication and trading services. The organization is now looking to refine its business model and leverage its focus to fuel growth.
The capital raised by the IPO will enable the Bank to do more with existing customers, as well as attract new and larger ones, through new and innovative products that directly address customer needs. In addition to increasing the value of assets under its management, the Bank also seeks to pursue a lending diversification strategy by diversifying into currently unserved economic sectors.
Like any other organization, APS Bank is driven by the desire to generate sustainable and superior returns for its investors. But the Bank is also motivated by its mission to support the local community, both through its banking services and through its support for solidarity projects. The overwhelming response to the IPO represents a vote of confidence in the Bank and all it stands for, and most importantly, the vision its leadership has set for the future.
APS Bank plc is regulated by the Malta Financial Services Authority as a credit institution under the Banking Act 1994 and to carry on investment services business under the Investment Services Act 1994. investment. The Bank is also registered as a tied insurance intermediary under the Insurance Distribution Act 2018. .
The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of APS Bank plc.
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