Pubali Bank to issue 400 crore bonds

The regulatory body Bangladesh Securities and Exchange Commission (BSEC) has approved the bond of 400 crore rupees of Pubali Bank listed in the capital market. Its approval was given in the 931st commission meeting on Tuesday. BSEC chairman Khandkar Rashed Maksud presided over the meeting.

According to BSEC, the Commission has approved Pubali Bank's fourth subordinated bond proposal of Tk 400 crore. The bond will be sold through private placement to institutional investors and high net worth individual investors. The face value per unit of the bond is Tk 10 lakh. The coupon rate of the bond will be determined by adding a coupon margin of 3 percent to the reference rate. The money raised through this bond issue will strengthen Pubali Bank's Tier-II capital base. DBH Finance plc is acting as trustee for the bond and UCB Investments Limited is acting as arranger.

After the meeting, BSEC Executive Director and Spokesperson Mohammad Rezaul Karim said that the bond has been approved with the condition of listing in the Alternative Trading Board (ATB).