Oversubscribed pre-listing of private placement boosts KAMCO debut on Kuwait stock exchange

The private placement in June of 50 million new shares, equivalent to 25 per cent of KAMCO's paid-up capital, was heavily oversubscribed in a matter of days, mainly by Kuwaiti investors.

"The tremendous demand for KAMCO shares from both individual investors and corporate entities has provided us with great confidence for the future," said KAMCO vice chairman and general manager Tariq Abdul Salam.

"The new capital generated will enable us to continue contributing to the development of local capital markets, while implementing creative strategies for new long-term investments and major business activities in local and regional financial sectors. We believe in the future of Kuwait and regional opportunities, and support this with our commitment to quality and client service," he said.

KAMCO, part of Kuwait Projects (KIPCO), is a subsidiary of United Gulf Bank (UGB) of Bahrain, KIPCO's investment banking arm and subsidiary. KAMCO's strong presence in the financial marketplace has been reflected in the dynamic growth of its Assets Under Management which now stand at nearly KD 1.25 billion (US$ 4.2 billion) - the second highest in Kuwait.

In this year until June 30, 2003, KAMCO recorded net profits of KD 2,812, 749
(US$ 9,563,346), or KD 37.5 fils (US$ 0.12 cents) per share. Shareholders' equity as at June 30, 2003 stood at KD 26.1 million (US$88.7 million), representing a book value of 174 fils (US$ 0.59 cents) per share. Subsequent to June 30, KAMCO has increased its share capital from KD 15 million (US$ 51 million) to KD 20 million (US$ 68 million). KAMCO expects record results for 2003.

KAMCO has thorough preparation for its listing, successfully concluded with approval from the KSE Committee on September 21. Dealing on KAMCO shares is due to begin on Monday October 20, under the ticker identification "KAMCO."