Sampath Bank gets CSE nod to list debt securities up to Rs.6bn

The country’s third largest private bank, Sampath Bank PLC has received approval in principle to list its debt securities up to Rs.6 billion on the Colombo Stock Exchange (CSE). The bank said it would be issuing 40 million unsecured, subordinated, redeemable debentures at an issue price of Rs.100 each with an option to raise up to a further 20 million of the said debentures in the event of an oversubscription of the initial issue.

The debentures, which will carry fixed and floating coupons, will mature in five years. A rating report in an earlier occasion said the debenture issue proceeds would be used to support the Tier 2 capital base of the bank. Fitch Ratings has assigned A+(lka/Stable) to the proposed issue. The subscription list of the issue will open on June 06, 2016.