City Bank Capital Resources Ltd announced the closure of the issuance of subordinated bonds by IPDC Finance Ltd and non-convertible redeemable preference shares of Confidence Power Bogra Unit II Limited.
The investment bank in a recent press release said that IPDC Finance would strengthen its Tier 2 capital base with the Tk100 crore it accumulated through the issued subordinated bonds.
Trustee to the issue was EBL Investments Ltd and City Bank Capital was the lead arranger.
The investors of the bond are Agrani Bank Ltd, Mutual Trust Bank Ltd, Sonali Bank Ltd, NRBC Bank Ltd and Uttara Finance and Investments Ltd.
IPDC Finance Limited, the first private sector financial institution of the country, is a diversified financial institution with a wide range of products and services covering corporate finance and advisory services, SME finance supply chain finance, retail wealth management and retail finances.
Since its inception in 1981 as a development financial institution (DFI), IPDC has been playing a pivotal role in reshaping the private sector industrialisation of the country through innovative financial products and services.
IPDC Finance Limited has decided to raise capital through issuance of subordinated bonds in order to strengthen its capital.
City Bank Capital also served power plant company Confidence Power Bogra Unit II Limited as the arranger and agent to issue non-convertible, cumulative, and non-participative redeemable preference shares worth Tk70 crore.
Confidence Power Bogra Unit-2 Limited was incorporated in 2017 and set up a 113-megawatt power plant at Birgram of Bogra. The plant will produce electricity for a period of 15 years.
The company is sponsored by Confidence Power Holdings Limited, a power concern of Confidence Group. The facility is a reciprocating engine-based power plant and uses Heavy Fuel Oil to produce the said electricity. This electricity is then evacuated via the Bogra Grid Substation.
The company produces the electricity using 6 MAN (Germany) branded generator engines each having a capacity of about 18,550 kW.
The key investors of the facility are Uttara Bank Ltd, Pubali Bank Ltd, IPDC Finance Ltd, Bangladesh Commerce Bank Ltd, United Finance Ltd, Community Bank Bangladesh Ltd and High-net-worth Individual.
City Bank Capital is one of the leading investment banks in Bangladesh known for its excellence in service and expertise in both investment banking and portfolio management.
It has recently been awarded the Best Investment Bank in Bangladesh award by Finance Asia 2020.