UAE telecoms group Du sets $273 mln rights issue

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Dubai-based telecoms provider du DU.DU will pursue a 1 billion dirham ($272.3 million) rights issue to fund infrastructure improvements beyond 2010, it said on Monday.

Chief Executive Officer Osman Sultan said during a call with reporters that the issue was already fully subscribed by its major shareholders and will meet the financial needs of the company for three to four years.

Du had previously said it has an investment programme exceeding 2.2 billion dirhams ($599 million) for 2010. Sultan said that the 1 billion dirhams rights issue would allow for financing beyond this year.