Seylan Bank to raise Rs10bn through listed debenture

Aug 29, 2017 (LBO) – Sri Lanka’s Seylan Bank plans to raise as much as 10 billion rupees from an issue of debentures which will be quoted on the Colombo Stock Exchange.

The bank said in a stock exchange filing that they seek to issue 60 million debentures at 100 rupees each with an option to issue further 40 million debentures.

The decision to issue BASEL 111 compliant debentures have been taken at a board meeting held on 25 August 2017.

It has been proposed that the tenures of the debentures would be minimum 5 years and maximum 10 years from the date of allotment whilst the interest rate options will be decided by the board prior to the opening of the issue.

Seylan Bank said an application seeking approval of the Colombo Stock Exchange to list the said debentures on the main board of CSE will be submitted in due course.

The bank further said with the new decision it will not be proceeding with the debenture issue informed to the Colombo Stock Exchange through its letter dated 5th October 2016.