GWC looks to raise QR476mn through rights issue

(MENAFN- Gulf Times) Gulf Warehousing Company (GWC), which recently won the right to construct Bu Sulba logistics hub for small and medium enterprises, is seeking to raise as much as QR476mn through a rights issue.

The company, which manages bespoke logistics hubs in several strategic and dynamic locations in Qatar, is planning to issue 11.89mn shares or 25% of its current capital at QR40 (including the premium) each in order to further reinforce its capital base in view of the fast paced development works in the country.

GWC, with a capital base of QR475.61mn, had reported net profit of QR102.38mn in the first nine months of this year.

The company will convene an extraordinary general assembly early next year to seek shareholders approval for the 'priority" issue of shares.

"The price of shares has been set based on studies prepared by our consultants Ernst & Young," a GWC spokesman said in a communiqué to the Qatar Stock Exchange.

Total assets were valued at QR2.05bn comprising current assets of QR0.37bn and non-current assets of QR1.68bn at the end of September 30, 2014.

GWC is the second entity to raise capital through rights issue this year, after Doha Insurance, which had in July raised as much as QR436.68mn by offering 24.26mn shares at QR18 a piece.