Tunisian-Libyan Bank to Undergo Significant Capital Increase
The Tunisian-Libyan Bank (BTL) will undergo a substantial capital increase of 152 million Tunisian dinars (Mtnd), bringing its total capital to 252 Mtnd. The newly issued shares will be subscribed to at a ratio of 152 new shares for every 102 existing shares and will be effective as of January 1, 2026.
Key Details of the Capital Increase
- The increase is reserved for existing shareholders, proportionally to the amount of their shares, with a limit of half for shareholders representing the Tunisian state and the other half for the Libyan Foreign Bank.
- The condition of equality between shares subscribed by shareholders representing the Tunisian state and the Libyan Foreign Bank must be maintained.
- The operation is in accordance with the provisions of Article 388 of the Commercial Companies Code and the decision of the Commission for the Rehabilitation and Restructuring of Publicly Held Enterprises (CAREPP) dated December 20, 2023.
- The primary goal of the capital increase is to improve the bank's financial situation.
Next Steps and Implications
- The realization of the planned capital increase is subject to a new decision by the CAREPP regarding the financing of the Tunisian state's participation.
- The subscription period is one month, starting from the date of publication in the Official Journal of the Republic of Tunisia of the information notice related to the capital increase. This period may be extended by a decision of the bank's board of directors, while respecting regulatory deadlines.
- Although recent figures on the BTL's accounts are not available, the implication of shareholders suggests that the bank is on the right track. The financial institution has been particularly dynamic over the past two years, with targeted expansion of its geographical footprint and framework agreements with professional bodies capable of generating quality assets. The recapitalization will give a boost to the pace of development and the achievement of management's objectives.
