The Arab Petroleum Investments Corporation (APICORP) announced that its general assembly ratified a landmark increase in callable capital to US$8.5bn at its annual general meeting (AGM), as well as a significant increase in authorised and subscribed capital
The increase, the largest in the Corporation?s history, is based on the recommendation by APICORP?s Board of Directors.
The increase in the capital reinforces long-term commitment towards APICORP?s sustainable growth plans for the benefit of its member countries. The callable capital increase further bolsters APICORP?s financial sustainability and resiliency and its overall financial position.
The corporation?s authorised capital was increased to US$20bn and subscribed capital to US$10bn, as well as transfer US$500mn from the corporation?s general reserves and retained earnings into its issued and fully paid capital.
Dr Ahmed Ali Attiga, CEO of APICORP, said, ?As we enter the next stage of APICORP?s growth story and build upon its longstanding reputation as a trusted financial partner to the Arab energy industry, the capital increase will enable APICORP to fulfil its policy mandate by continuing to deliver sustainable impact-driven development projects and supporting investment activities.?
Dr Sherif Elsayed Ayoub, chief financial officer of APICORP, commented, ?The capital increase serves as one of the cornerstones of APICORP?s growth plans as per our board-approved risk appetite and five-year corporate strategy. These include increasing our lending and investment capacity to better meet the ever-growing needs of our public and private-sector partners in the energy sector. This remarkable show of support from our member countries shall also cement APICORP?s profile as a financially strong, well-capitalized, highly-liquid and consistently profitable MDB.?
APICORP disclosed its financial results for the year ended 2019, posting strong results including a 17 per cent Y-O-Y increase in net recurring income to US$112mn, up from US$96mn at year end 2018.
