Pran-RFL concern raises Tk300 crore through Sukuk

Banga Building Materials Limited, a sister concern of business conglomerate Pran-RFL, has raised Tk300 crore through the issuance of the country's second corporate Sukuk.

The Sukuk — a Shariah-compliant bond — which was issued to banks had the City Bank Capital as the arranger and issue advisor.

Banga Building will use the Sukuk proceeds to buy new machinery, and also spend on updating the existing ones.

The closing ceremony for the Sukuk was held on Thursday at a hotel in Dhaka where Professor Shibli Rubayat-Ul-Islam, chairman of Bangladesh Securities and Exchange Commission (BSEC) was present as chief guest.

The BSEC chairman congratulated Banga Building on its successful fundraising, and emphasised the importance of fixed income securities and Islamic instruments in supporting the development of the country's infrastructure.

Addressing the occasion, Pran-RFL Group Chairman Ahsan Khan Chowdhury said, "We are delighted to have successfully raised Tk300 crore through the issuance of the Sukuk bond. This is a testament to the strong demand for our products and services and the confidence that investors have in our business model."

Ershad Hossain, CEO and MD of City Bank Capital, said, "We are proud to have served as the arranger and issue advisor for the second corporate Sukuk. This is an important milestone for the company, and we are pleased to have played a role in its success. We believe that Sukuk has great potential in Bangladesh, and we look forward to working with more companies in the future."

Farid Uddin Ahmed, Chairman of Shariah board of BBML Sukuk Al-Ijarah, R N Paul, Managing Director of RFL Group, Uzma Chowdhury, Director (Corporate Finance) of Pran-RFL Group were present at the event.