The Clap Egyptian Gulf Bank (EGBE) General Assembly confirmed it will increase the capital through offering bonus shares to shareholders.
The bank will increase capital from $500 million to $800 million.
Bonus shares are distributions of earnings that a company undertakes in the form of stocks that increase capital. The financing of such operations comes from the general reserve that the company builds by cutting from its annual income on a cumulative basis. When this reserve reaches a pre-specified figure, the company is granted the right to convert it to capital through bonus shares.