MTC to increase capital by 100%

The board of Kuwait’s MTC Group has approved the company’s largest ever capital increase, as it seeks to repay loans taken out for the purchase of pan-African mobile group Celtel International and raise funds for future acquisitions. The rights offering will result in a 100% increase of share capital, from KWD55.42 million (USD190 million) to KWD109.72 million (USD376 million), through the issuance of 543,013,460 new shares. The rights issue will allow eligible shareholders to purchase shares equal to the stake they own on the record date. MTC’s market capitalisation has increased by USD4 billion in the four months and since it announced its acquisition of Celtel.