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The Financial Express

SIBL decides to issue Tk 5.0 billion Mudaraba Bond

| Updated: December 06, 2017 14:51:55


SIBL to issue Tk 5.0 billion Mudaraba Bond

The board of directors of Social Islami Bank Limited (SIBL) has decided to issue ‘SIBL 3rd Mudaraba Subordinated Redeemable Bond’ of Tk 5.0 billion for 7 years, said an official disclosure on Tuesday.

Core features of the bond are as follows: value per unit: Tk 10 million, minimum application: Tk 10 million only, profit rate policy is six monthly Mudaraba Term Deposit Profit Rate of SIBL + 2.0 per cent, Redemption policy: 20 per cent of the total bond value to be redeemed at the end of each year starting from year 3, Payment of profit: semi-annually, fund placement structure: private placement, Listing status: un-listed.

However, the bond issue is subject to the approval of Bangladesh Securities & Exchange Commission (BSEC) and Bangladesh Bank (BB).

The bank which was listed on the Dhaka bourse in 2000, disbursed 20 per cent cash dividend for the year ended on December 2016.

Each share of the bank closed at Tk 24 each on Monday at the Dhaka Stock Exchange (DSE).

The company’s paid-up capital is Tk 7.38 billion and authorised capital is Tk 10 billion, while the total number of securities is 738.29 million.

Sponsor-directors own 38.35 per cent stake in the company while the institutional investors own 46.38 per cent, foreign 1.43 per cent and the general public 13.84 per cent as on October 31, 2017, the DSE data shows.

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