EFG Hermes, an EFG Holding company and the leading investment bank in the Middle East and North Africa (Mena) region, has announced that it had acted as the financial advisor and bookrunner to Depa, an interior solutions group, on its pro rata renounceable rights issue and its listing on Nasdaq Dubai.

A key capital-raising transaction, the issue was aimed at supporting the company’s strategic growth agenda, said a statement from EFG Hermes.

Depa is issuing 2,438,518,519 new ordinary shares at an offer price of AED 0.27 per share. This represents a total expected raise of approximately AED658.4 million (  ).

This capital hike is a critical step in enabling Depa to capitalise on regional growth opportunities, enhance operational capabilities, and deliver sustainable value creation for its shareholders, it stated.

The proceeds from this transaction will be used to support working capital requirements for subsidiaries, fund initiatives to enhance operations, such as greenfield projects, and fund inorganic growth initiatives, such as potential acquisitions, it added.

Karim Meleka, Co-Head of Investment Banking at EFG Hermes, said: "We are pleased to have advised Depa PLC on this first-of-its-kind transaction for the Company, which required a bespoke structuring approach and a comprehensive reassessment of Depa’s capital needs."

"As Financial Advisor and Bookrunner, our work focused on refining the business plan, sizing, and prioritizing the use of proceeds, and structuring a rights issue tailored to Depa’s strategic objectives. This transaction demonstrates our ability to deliver innovative, solution-driven capital raises and to execute seamlessly alongside shareholders and stakeholders across the region," he added.

Last year, EFG Hermes had advised on 8 merger and acquisition (M&A) transactions; 16 debt capital market (DCM) and 18 equity capital market (ECM) deals across the region, including landmark transactions in Saudi Arabia, the UAE, Kuwait, Oman, and Egypt, underscoring its leadership in regional markets.-TradeArabia News Service