Islami Bank to issue fifth Mudaraba bond worth Tk 500 crore

Islami Bank Bangladesh has received consent from the Bangladesh Securities and Exchange Commission (BSEC) to issue its fifth Mudaraba redeemable non-convertible subordinated bond worth Tk 500 crore. 

This approval follows an earlier announcement made on September 19, 2024, revising the bond issuance to Tk 500 crore. 

The bond issuance aims to augment Tier 2 capital and strengthen the bank's capital base, according to a disclosure of the Shariah-based bank on the website of Dhaka Stock Exchange (DSE) today. 

It will comprise 10,000 units, each valued at Tk 500,000. 

The bond, issued under private placement, will be unsecured, non-convertible, redeemable, and compliant with BASEL III standards, as disclosed on the DSE.