Standard Chartered banks set for $84 million from rights issue underwriting

By Steve Slater

LONDON (Reuters) - British bank Standard Chartered will pay about 55 million pounds to banks underwriting its $5.1 billion (3.3 billion pounds) rights issue, according to details released on Wednesday.

Standard Chartered's rights issue prospectus said it would pay banks underwriting the deal a 1.8 percent commission for most of the shares issued. It will pay 0.9 percent commission on 125 million shares that are being bought by its 15.8 percent shareholder Temasek.

That should see 55.7 million pounds shared by six banks and any other businesses that help underwrite the offer, according to Reuters' calculations.

The prospectus said the bank's total costs for the offer would be 74.5 million pounds, including the fees paid to banks and other administration expenses.

Standard Chartered earlier this month said it would tap investors for cash to strengthen its capital and pay $3 billion in restructuring and other charges related to a clean up of its business under new Chief Executive Bill Winters.

The bank is offering investors two new shares for every seven they own at a price of 465 pence per share. That will see 728.4 million shares issued.

JPMorgan and Bank of America Merrill Lynch are the joint global coordinators and joint bookrunners on the offer, and are each underwriting one-third of the offer - putting them in line for about 18.6 million pounds each.

Barclays, BNP Paribas, Goldman Sachs and UBS are all joint lead managers and underwriting 8.3 percent apiece - putting them in line for 4.6 million pounds each.

(Editing by Mark Potter)