NRBC Bank’s IPO subscription to begin 3 February

NRB Commercial Bank Limited is due to open its initial public offering (IPO) subscription on 3 February and aims to raise Tk120 crore from investors in the stock market. 

The investors would be able to buy the company's primary shares till the evening of 9 February.

Previously, on 18 November last year, the bank got the securities regulator's approval to raise the funds through an IPO.

The IPO will be offered to the public at a face value of Tk10 per share.

The bank will use Tk110 crore of this fund for government securities, Tk6.05 crore for the secondary market and Tk3.95 crore as IPO expenses.

According to an audited report of the year ended on 31 December, 2019, the bank's net profit was Tk115.36 crore.

In the January-June period of 2020, the bank'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.

NRBC Bank was established on 20 February, 2013 and started operating on 2 April the same year.

Nationwide, 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.

Its principal activities include banking and other activities related to: accepting customer deposits; lending to retail, small and medium-size 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.