Industry Analysis

Nations Trust Bank to Raise Rs. 10 Billion Through Debentures

Nations Trust Bank PLC has announced plans to raise Rs. 10 billion via a listed debenture issue.

The Board has resolved to issue 50 million Unlisted, Rated, Unsecured, Senior, Redeemable Debentures of Rs. 100 each, amounting to Rs. 5 billion, with an option to issue a further 30 million debentures and an additional 20 million debentures at the Bank’s discretion in case of oversubscription, aggregating to a total of Rs. 10 billion.

The issue comprises three types of debentures:

  • Type A: Unlisted, Rated, Unsecured, Senior, Redeemable Debentures with a tenure of five years (2024/2029) and a fixed interest rate of 12.50% p.a. (interest paid semi-annually).
  • Type B: Unlisted, Rated, Unsecured, Senior, Redeemable Debentures with a tenure of five years (2024/2029) and a fixed interest rate of 12.90% p.a. (interest paid annually).
  • Type C: Unlisted, Rated, Unsecured, Senior, Redeemable Debentures with a tenure of seven years (2024/2031) and a fixed interest rate of 13.00% p.a. (interest paid annually).