27 July 2020 09:40 am
Sanasa Development Bank PLC (SDB Bank) is planning to raise upto Rs.1.53 billion via a right issue to enhance the bank’s capital adequacy ratios and partly finance its loan portfolio growth.
SDB Bank last Friday announced that it plans to issue up to 30,525,344 shares at a considered price of Rs.50 per share, subject to pending shareholder
and regulatory approvals.
The bank’s share last traded at Rs.55.
The proportion in which shares are to be issued is one new ordinary voting share for every two ordinary voting shares held.
The move is expected to further strengthen the equity base of the bank and thereby improve its capital adequacy.
The proceeds will also be used to part finance the growth in the loan portfolio of the bank.
The stated capital of the bank is Rs 6.2 billion represented by 61,050,688 ordinary voting shares, including the shares to be listed in due course arising out of the
scrip dividend.