Bank ABC's securities stabilization concludes without action

Published 01/17/2025, 05:50 AM

LONDON - J.P. Morgan Securities PLC has announced that no stabilization activities were carried out in connection to Arab Banking Corporation's (Bank ABC) recent securities offering. The notice, issued on Friday, follows a previous statement from January 16, 2025, detailing the potential for such actions during the post-stabilization period.

The securities in question are perpetual non-call 5-year Additional Tier 1 Capital Securities intended for listing on the International Securities Market of the London Stock Exchange (LON:LSEG) plc. Despite preparations for stabilization, which refers to measures taken by underwriters to support the price of a security following its initial offering, no such transactions were executed by the stabilization managers involved.

The group of stabilization managers included J.P. Morgan Securities PLC, serving as the stabilization coordinator, and several other financial institutions: Bank ABC, Emirates NBD Capital, First Abu Dhabi Bank, HSBC, Kamco Invest, Mashreq, and Standard Chartered (OTC:SCBFF).

It's important to note that the offer price was not disclosed as the trade was postponed. The reasons for the postponement or the absence of stabilization activities have not been specified.

This announcement serves as a regulatory compliance notice and is not an invitation or offer to buy or sell any securities. The information is provided by RNS, the news service of the London Stock Exchange, and is authorized by the Financial Conduct Authority in the UK.

Investors and market watchers typically monitor stabilization activity as an indicator of the underwriter's support for a new issue. The lack of stabilization in this case is a factual event that the market may interpret in various ways, depending on the broader financial context and market conditions.

This report is based on a press release statement and is intended for informational purposes only.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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