HSBC rights issue sees 96.6% take up

06 April 2009 / by Rebecca Sargent
HSBC has announced the success of its £12.5billion rights issue, which saw 96.6 per cent of shareholders accept the deal.

The remaining HSBC rights issue shares, which were sold on a basis of five new shares for each 12 existing shares, are expected to be sold on the money markets today.

The rights issue was announced early last month, and was intended to shore up the bank's balance sheet amid a turbulent economic climate, which has already seen several banks turn to the Government for help.

Commenting on the success, Stephen Green, group chairman at HSBC said: "I would like to thank shareholders for their support in this successful rights issue. This underlines our determination that HSBC should maintain its signature financial strength which has served us so well over HSBC's long history.

"We remain confident that HSBC is well placed in today's environment and that our strength leads to opportunity."

Shares in HSBC have shot up by five per cent since the markets opened this morning, following the rights issue's success.

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