Dec 21, 2016 (LBO) – Sri Lanka’s Pan Asia Bank has availed of external foreign funding lines from Symbiotics Group, a Geneva-based fund specializing in providing credit facilities for SME development worldwide.
As per the disclosure of Pan Asia Bank to the stock exchange, these funds will be made available in two components, one in US dollars and the other one in Sri Lankan rupees.
The total value of funds is 17.25 million US dollars of which 9.25 million dollars will be received in US dollars and 8.0 million dollars will be received in rupees.
Pan Asia Bank said the USD loan is at floating rate with a tenor of 5 years and LKR is at fixed rate with a tenor of 55 months.
The bank said the funding lines will be utilized to grow the SME and micro finance businesses and it will not be convertible in to any form of equity instrument.
Pan Asia Bank further said the lenders of the proposed funds will not enjoy any priority over the other debenture holders of the company.
The lender will also not have any special rights over the debenture holders of the company in any manner detrimental to the holders of such security.