BEXIMCO, CITY BANK CAPITAL SIGN DEAL TO ISSUE TK 30B SUKUK BOND
Source: Energy & Power
Bangladesh Export Import Company Limited (Beximco) signed an agreement with City Bank Capital Resources Limited in the city today (Sunday) to arrange Islamic Shariah compliant Sukuk Al Istisna for Beximco subsidiaries to raise Tk 30 billion.
Osman Kaiser Chowdhury, Group Director and Chief Executive Officer, Power and Engineering, Beximco Group and Ershad Hossain, Managing Director, City Bank Capital, signed the agreement on behalf of their respective sides.
Under the agreement, Beximco Ltd is the originator of the issue and City Bank Capital is the arranger, adviser and issue manager of this issue.
This secured convertible asset-backed Sukuk will be issued, subject to BSEC approval, for the purpose of construction of the solar project of Teesta and korotoa Solar Ltd, the two subsidiaries of Beximco Power Company Limited and financing and refinancing of the machinery and equipment required for the exaptation of Beximco Ltd’s textile division.
The face value has been set at Tk 100 while the minimum subscription size is Tk 5,000 and the tenure is 5 years. Profit rate is 9% per annum or above.