MBSL’s Rs. 1 b debenture issue draws Rs. 2.3 b demand

Thursday, 22 May 2025 04:12 - - {{hitsCtrl.values.hits}}

The Merchant Bank of Sri Lanka and Finance PLC’s (MBSL) Rs. 1 billion debenture issue has drawn demand worth Rs. 2.34 billion.

MBSL issued 5 million Unsecured Subordinated Redeemable Listed, Rated Five Year debentures of Rs. 100 each with an option to raise a further an equal amount in the event of oversubscription of the initial amount bringing the total to Rs. 1 billion. Debentures were of two types. Type A was with a fixed interest rate of 12.50% per annum payable annually and Type B fixed interest rate of 11.75% per annum payable biannually.

For Type A, there had been 74 applications requesting for Rs. 2.314 billion and Type B drew 12 applications worth Rs. 27.29 million bringing the total to 86 applications worth

Rs. 2.34 billion.

Fitch Ratings assigned the debenture a national long-term rating of ‘BBB+(lka)’.