CDB to raise up to Rs.1.25bn through listed debt

Citizens Development Business Finance PLC (CDB) is to raise up to Rs.1.25 billion through a listed debt issue on top of the Rs.2 billion raised by the company through a previous debenture issue this April.

The company plans to issue five million subordinated, unsecured, listed, redeemable, rated, five-year debentures priced Rs.100 each with an option to increase by a further five million of the said debentures in the event of an oversubscription of the initial issue. The company also plans to further issue 2.5 million of the same debentures in the event of an oversubscription of the second tranche.

The subscription list of the year will officially open on January 17.

The Corporate Finance Division of Citizen Development Business Finance PLC will manage the issue.

The Colombo Stock Exchange has approved in principle the listing of the said debt instruments.