Dhaka, Bangladesh (BBN) – The Bangladesh Securities and Exchange Commission (BSEC) on Thursday allowed three companies, including two banks, to raise total BDT 14 billion through issuing of bonds.

Bangladesh’s capital market regulator gave the approval in a commission meeting presided over by its chairman M Khairul Hossain.

As per the BSEC’s approval, Islami Bank Bangladesh Limited (IBBL) will float non-convertible mudaraba subordinated bonds worth BDT 5.0 billion, National Bank Limited (NBL) will issue non-convertible second subordinated bonds worth BDT 4.0 billion and LankaBangla Finance will float non-convertible unsecured subordinated bonds worth BDT 5.0 billion.

The face value of each unit of banks’ bonds will be BDT 10 million, while the face value of LankaBangla Finance’s bonds will be BDT 1,000 each.

The bonds to be issued by Islami Bank and National Bank will be fully redeemable in seven years, while LankaBangla’s bonds will be redeemable in 3 years.

Only corporate bodies, financial institutions and funds will be allowed to subscribe the bonds through the private placement.

Green Delta Insurance will work as the trustee for all the three bonds.