Other companies ‘should follow PRAN’

PRAN's success a milestone for bond market

FE DESK | Published: June 15, 2021 22:49:18

The success of PRAN Agro Ltd for collecting money through bond is a milestone for bond market and more corporates will be eager to come here to meet its huge financing requirement following PRAN, said the speakers at a programme.
PRAN organized the programme on Monday through virtual platform to celebrate the successful issuance of first BDT bond with international guarantee in Bangladesh for PRAN.
The bond market is a potential sector for collecting long term finance for entrepreneurs and the alternative source of finance for private sector.
Recently PRAN Agro, a sister concern of PRAN-RFL Group, has successfully achieved financial close of a landmark BDT 2,100 million (circa. US$ 25 million) non-convertible, redeemable bond, said a statement.
It is the first such bond guaranteed by GuarantCo or other international DFIs, the first to be subscribed by an international insurance company and the country's first directly issued digitized bond under Private Placement of Debt Securities Rules. The bond will be used to develop critical infrastructure in the agricultural supply chain and support PRAN Agro's expansion plans in the local and export markets.
Addressing the program, Salman F Rahman, Private Industry and Investment Advisor to Prime Minister said that bond market is a vibrant sector and alternative sourcefor collecting long term finance for entrepreneurs along with Bank. If more international guarantors come in the market, it will be strong and other companies will be encouraged to enter in the bond market.
Robert Chatterton Dickson, British High Commissioner to Bangladesh said, "UK is the long term development partner for Bangladesh. The development of capital market is very important for economic development. Our investors will come to invest here if the market grows."
Md. Sirazul Islam, Executive Chairman at Bangladesh Investment Development Authority (BIDA) said, that the initiative of PRAN Agrois an inspiration for other companies. It will motivate other businesses for collecting long term finance. BIDA is working to ease the doing business in the country.
Professor Shibli Rubayat-Ul-Islam, Chairman at Bangladesh Securities and Exchange Commission (BSEC) said, "I am happy to give the approval of the bond. I hope, other companies will follow PRAN. We have introduced various bond and trying to promote it.
He urge to Gurantco to engage more in the country's bond market."
Ahsan Khan Chowdhury, Chairman and CEO at PRAN-RFL Group said, "Bond market is yet to develop completely in Bangladesh. But BSEC is doing its level best for it. We hope, it will develop and entrepreneurs will come tomeet its huge financing requirement."
Ahmed Jamal, Deputy Governor at Bangladesh Bank, Emily Bushby, Interim CEO at GuarantCo, Nishant Kumar, MD of Asia, Ala Uddin Ahmed, General Manager at Metlife Bangladesh were also present at the program. Uzma Chowdhury, Director (Corporate Finance) moderated the program.