BRAC Bank has raised a subordinated bond worth Tk 700 crore to enhance its capital base as per Basel-III requirements.
The bond will support the bank鈥檚 capital adequacy requirements, as the bank has earned significant balance sheet growth in recent years, according to a press release of the bank.
This incremental capital has set the platform to grow the bank鈥檚 balance sheet at a higher pace than before.
A total of 663 investors, including 567 individuals, invested in this long-term subordinated bond.
Given that the bond is issued by one of the strongest banks in the country, which holds the highest credit rating from both local and international rating agencies, investors felt confident in making a long-term investment, the release said.
Selim RF Hussain, managing director and chief executive officer of BRAC Bank, said, 鈥楤RAC Bank has earned trust and reliability to a level over the years where the investors can trust their money with the bank. The full subscription of the bond by diverse groups of individuals and institutions reflected their trust in the bank.鈥�
鈥榃e would like to thank the investors, regulators, our colleagues and all the stakeholders involved in this success,鈥� he added.
BRAC EPL Investments Limited has acted as the lead arranger while the bank鈥檚 branch distribution, SME MFI team and corporate banking team contributed to close the subscription in the shortest possible time.聽
This bond will help create a long-term bond market for investors.
