The Rated Unsecured Subordinated Redeemable Debentures issued in Jun with a face value of Rs.100/- each, amounting toLKR 10 Billion with a 5 year tenure was assigned a rating of ‘A+ (lka)’ by Fitch Ratings Lanka Limited.
The issuewas managed by Group’s investment banking arm, NDB Investment Bank (NDBIB) and will be listed on the Colombo Stock Exchange.
NDBIB is the foremost investment bank in Sri Lanka and a three-time recipient of the prestigious Euromoney award for excellence.
NDB decided to exercise the option to accept further 25 Million debentures in addition to the initial issue of 75 Million debentures issuing a total of 100 Million debentures.
The debenture issue had two types; Type A being a “plain vanilla’ coupon paying debenture whilst Type B being a “Zero Coupon” debenture, first of its kind to be listed on the CSE, demonstrating NDBIB’s quest to introduce innovative financial structures/products to the Capital Market of Sri Lanka.
Majority of Type B debentures were grabbed by provident funds and insurance funds.
There was a significant corporate and retail participation for this debenture and total applications received exceededLKR 13 Billion.
Commenting on the successful execution of the debenture issue, Chief Executive Officer of NDB, Mr. Rajendra Theagarajah said, “We are truly delighted with the response received for this debenture issue, which is a reflection of the continued trust placed in NDB by the investor community.
The proceeds of this debenture issue will enhance the Tier 2 capital baseof the Bank and would enable us in turn to stimulate the envisaged growth of NDB during the next 1-2 years.”
NDB is one of the fastest growing banks in the country with NDB Group having regional operations in Bangladesh.
The Bank offers a wide range of commercial banking services through its growing island-wide branch network–which is expanding in tandem with the bank’s growth in commercial banking operations.
Through the combined synergies of the diverse constituents of the NDB Group, its customers have access to a full range of banking and financial services; including project finance, corporate banking, SME lending, retail banking, investment banking, stock brokering and wealth management solutions making NDB a truly Universal Bank.
Further validating the NDB’suniversal banking excellence, NDB was pronounced as the ‘Best Bank in Sri Lanka’, under the Emerging Market Banks’ awards in Asia Pacific 2015 by the prestigious Global Finance magazine of USA.
