NRBC Bank’s IPO lottery on 3 March
The private sector lender will raise Tk120 crore from the capital market
The initial public offering (IPO) lottery draw of NRB Commercial Bank will be held online on 3 March to allocate its shares to general investors.
The IPO subscription was held from 3 to 9 February.
General investors have applied for shares worth Tk597.77 crore, which is 8.30 times higher than the allocation.
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The primary shares will be offered to the public at a face value of Tk10 per share.
Earlier on 18 November last year, the securities regulator allowed the private sector lender to raise Tk120 crore from the capital market.
The bank, which was established on 20 February 2013, will invest Tk110 crore in government securities and Tk6.05 crore in the secondary market.
As of December 2020, the lender's total classified loans stood at Tk140.1 crore, which included 79% bad loans.
As per the Bangladesh Bank, the ratio of gross nonperforming loans to the total outstanding loans of the banking sector stood at 7.66%.
According to an audited report of the year ending on 31 December 2019, the bank's net profit was Tk115.36 crore.
In the January-June period of 2020, the financial institution's net profit was Tk36.21 crore and its earnings per share (EPS) was Tk0.62.
Its net asset value per share without revaluation was Tk13.86. The bank's five-year weighted average EPS was Tk1.55 till 2019.
In the first half of last year, its net interest income was Tk81.38 crore, investment income Tk95.42 crore and total operating income Tk228.42 crore.
The bank's authorised capital was Tk1,000 crore while its paid-up capital was Tk582.52 crore and post-paid-up capital Tk702.52 crore.
Asian Tiger Capital Partners Investments Limited and AFC Capital Limited are the issue managers of the IPO.
The bank has 75 branches, 42 sub-branches, 23 BRTA collection booths, 13 land registration sub-branches, 229 land registration booths, and 583 agent banking partners across the country.
Its principal activities include banking and other activities related to accepting customer deposits and lending to retail, small and medium-sized enterprises as well as corporate customers.
Foreign trade business; lease financing; project financing; inter-bank borrowing and lending; plus dealing in government securities and equity shares are the other functions of the commercial bank.
