Prime Commercial Bank to Issue Rs 3 Billion Debenture at 6.25% Interest from Asar 16
Prime Commercial Bank is set to issue a 10-year debenture worth Rs 3 billion starting from Asar 16, offering an annual interest rate of 6.25 percent.
Prime Commercial Bank is going to open the sale of its 10-year bond “6.25% Prime Bank Debenture 2093” from Asar 16. The bank will issue 30 lakh units of debenture at a face value of Rs 1,000 per unit, totaling Rs 3 billion.
Out of the total issuance, 60 percent (18 lakh units worth Rs 1.8 billion) will be allocated through private placement, while 40 percent (12 lakh units worth Rs 1.2 billion) will be offered to the general public. Within the public portion, 5 percent (60,000 units) is reserved for mutual funds.
Investors can apply for a minimum of 25 units and up to the full available quantity. The issue will close early on Asar 19 and at the latest by Asar 30.
Sanima Capital Limited is the issue and sales manager. Applications can be submitted through C-ASBA participating banks and financial institutions or via the “Mero Share” online system.
CARE Ratings Nepal has assigned the issuer a CARE-NP Single A Minus rating, indicating high safety regarding timely financial obligations. Interest payments will be made semi-annually after tax deduction, the bank stated.