DFCC’s BASEL III listed debentures oversubscribed

The latest debenture issue by DFCC bank to raise Rs. 8 billion was oversubscribed on its opening day, January 5.
An initial issue of 50 million BASEL III Compliant Tier2 listed rated unsecured subordinated redeemable 5 and 7-year debentures were offered at a par value of Rs. 100 each. 
It was offered with an option of issuing up to a further 30 million of the said debentures to raise up to Rs. 3 billion in the event of an oversubscription of the initial issue.
In a filing to the Colombo Stock Exchange (CSE), DFCC said it received applications for 80 million debentures and the issue was oversubscribed.
Fitch Ratings assigned DFCC Bank PLC’s (A-(lka)/Stable) debentures a final National Long-Term Rating of ‘BBB(lka)’. DFCC plans to use the proceeds to strengthen its Tier 2 capital base and support loan growth.