Seylan Bank Rs. 5 b debentures up for grabs

Seylan Bank is to raise Rs. 5 billion via a listed debenture issue.

It will issue 30 million unsecured, subordinated, redeemable rated debentures at Rs. 100 each with an option to offer a further 20 million debentures in the event of an oversubscription.

The issue can be subscribed from now onwards whilst the official opening is on 5 July.

The debentures will have tenors of five and seven years and carry fixed and floating coupons.

Fitch Ratings has assigned Seylan Bank PLC’s (A-)/Stable) Basel II compliant subordinated debenture issue a final National Long Term Rating of ‘BBB+’.

Joint managers to the issue are People’s Bank Investment Banking Unit and Capital Alliance Partners Ltd. The Placement agent is Kenanga Investment Corporation.