Seylan Bank finalises allotment of debentures

As notified to the Colombo Stock Exchange, the date of allotment is scheduled for December 23, 2014 and all applications accepted will be fully allotted.
Seylan Bank will mobilise the debenture funds raised to strengthen the medium to longterm funding mix of the bank, leading to enhanced asset, liability and interest rate risk management.Taprobane Wealth Plus (Pvt.) Ltd was the managers to the issue while Bank of Ceylon acted as the trustee. SSP Corporate Services (Pvt.) Ltd was the registrars to the issue and Seylan Bank itself acted as the bankers and lawyers to the issue.

The debenture issue follows in the wake of a very successful year for Seylan Bank, with net profits seen souring by 47 percent to Rs.2.25 billion and net interest income by 21 percent to Rs.8.22 billion for the nine months ended September 30, 2014.The improvement in the deposit base to Rs.174.8 billion during t he year also bears testimony to the solid growth achieved by the bank, continuously for the past few years. The deposit base comprised mainly of current and savings deposits which enabled the bank’s low-cost deposit base to be increased from 33 percent in December 2013 to 36 percent as at September 30, 2014.