Two banks to issue Tk 21b bonds

Islami Bank Bangladesh and Mutual Trust Bank have decided to issue bonds worth of total Tk 21 billion subject to approval of the regulatory authorities, according to official disclosures on Sunday.

Mutual Trust Bank: Mutual Trust Bank has decided to issuance of non-convertible perpetual bond of Tk 4.0 billion and issuance of seven years non-convertible subordinated bond of Tk 5.0 billion.

The Mutual Trust Bank, which was listed on the Dhaka Stock Exchange in 2003, disbursed 11 per cent stock dividend for the year ended on December 31, 2018.

Each share of the bank traded between Tk 31.60 and Tk 33.20, before closing at Tk 33.10, gaining 2.79 per cent over the previous day.

The bank's paid-up capital is 6.69 billion, authorised capital is Tk 10 billion and the total number of securities is 669.92 million.

Sponsor-directors own 41.11 per cent stake in the bank while institutional investors own 22.14 per cent and the general public 36.75 per cent as on August 31, 2019, the DSE data shows.

Islami Bank: The board of directors of Islami Bank Bangladesh on June 19 decided to issue "IBBL Third Mudaraba Redeemable Non-Convertible Subordinated Bond" of Tk 12 billion under Mudaraba Principle of Islamic Shari'ah.

The Islami Bank has further informed on Sunday that the board of directors has taken decision to raise the Tier-II capital of the bank under Basel-III through issuance of seven years "IBBL Third Mudaraba Redeemable Non-Convertible Subordinated Bond".

[email protected]