The Board of Directors of Kvika banki hf. (“Kvika” or “the Company“) has, since the last meeting of the board, reviewed 11 notifications from holders of subscription rights on shares in the Company, amounting to a total nominal value of ISK 25,816,667, for exercising of the rights.
All notifications are from holders of subscription rights issued and sold in the years 2017 and 2019 in accordance with Temporary Provisions II and IV of Kvika‘s Articles of Association. Thereof, 3 notifications, in total of 2,650,000 new shares, are from holders of subscription rights sold in the year 2019 under Temporary Provision II and 8 notifications, in total of 23,166,667 new shares, from holders of subscription rights sold in the year 2017 under Temporary Provision IV. This includes exercising of rights for total 25,816,667 new shares. Total purchase price amounts to ISK 199,208,003 and therefore the calculated average price per share is 7.7162560.
Pursuant to contracts regarding the issuance of subscription rights, the Board of Directors is obliged to raise the share capital to fulfil its obligations regarding the rights and issue share capital, register the holders of the rights in the share registry and ensuring their registration as the holders of the rights in the central securities depository, cf. Act no. 7/2020 on central depository system, settlement and the electronic registration of rights of title to financial instruments.
The Board of Directors today exercised its authority according to Temporary Provisions II and IV of the Company’s Articles of Association to increase its share capital for the purpose of fulfilling the aforementioned subscription rights. The Company’s share capital will therefore be increased by ISK 25,816,667 and will, after this increase, amount to a nominal value of ISK 4,738,211,571, with the issuance of new shares.
As a result of the above, the board‘s authorisation to increase share capital will be for a nominal value of ISK 283,883,379 in accordance with Temporary Provision IV and a nominal value of ISK 78,625,000 according to Temporary Provision II.
The share capital increase shall be announced and registered by the register of undertakings of the Directorate of Internal Revenue. The new shares shall be issued by the Nasdaq central securities depository and a request will be made for listing of the shares on the Main Market of Nasdaq Iceland.
This announcement is in accordance with the procedure introduced in the Company’s announcement from 19 September 2019.