BD Finance to issue 1st Zero Coupon Bond

24 Nov

BD Finance to issue 1st Zero Coupon Bond

The board of directors of Bangladesh Finance and Investment Company has decided to issue ‘BD Finance 1st Zero Coupon Bond’ worth Tk 2.0 billion for expansion of business and diversification of funding sources.

The nature of this bond is non-convertible, fully redeemable and unsecured zero-coupon bond. The tenure of the bond is three years and the discount rate will be 7.0 per cent to 7.50 per cent per annum, according to an official disclosure on Monday.

Bond units worth Tk 1.0 million each will be offered to eligible investors through private placement.

The City Bank Capital Resources and Sandhani Life Insurance Company are the mandated lead arranger and trustee of the bond respectively.

However, the bond issue is subject to the approval of the concerned regulatory authorities- Bangladesh Bank and Bangladesh Securities and Exchange Commission.

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