RHB Bank and BHSB will hold 40% and 60% of equity share capital in Boost, respectively, after the subscription.
PETALING JAYA: Boost Bhd has raised RM85mil from the issue of new shares to its two main shareholders, RHB Bank Bhd and Boost Holdings Sdn Bhd (BHSB).
RHB Bank subscribed 34 million new ordinary shares in Boost for RM34mil cash while BHSB, a 75.43% subsidiary of Axiata Group Bhd
, subscribed for an additional 51 million new Boost shares for RM51mil.
Pursuant to the share subscription agreement and shareholders agreement, RHB Bank and BHSB, will hold 40% and 60% of equity share capital in Boost, respectively.
The additional subscriptions will allow Boost to continue meeting the minimum capital funds requirements for the proposed digital bank of RM100mil unimpaired by losses, exchange filings by RHB Bank and Axiata noted.
Upon completion of the exercise, the paid-up capital of Boost will amount to RM185mil, comprising 185 million shares.
The Employees Provident Fund is a common shareholder in Axiata and RHB Bank. The retirement fund holds a 17.64% in Axiata and 40.93% in RHB Bank.
Boost and RHB were among five groups that won digital bank licences (conventional and Islamic) from Bank Negara in April 2022.
