Midland Bank, in its bid to bolster its asset portfolio, has decided to issue zero-coupon bonds worth Tk 5.06 billion. The bonds will be offered to various entities, including high net worth individuals, insurance companies, asset management firms, and corporate entities. The tenure of the bonds will be 5 years, with a discount rate ranging from 6.50% to 7.75% per year. Depending on the subscription rate, the discounted value will be around Tk 4.29 billion to Tk 4.40 billion. The move follows the bank’s 9.33% growth in net profit in 2022, leading to a 5% cash dividend declaration for shareholders. Additionally, the bank’s strong asset quality, with a non-performing loan ratio of 2.78% (compared to the market average of 8.16%), and a robust capital-to-risk weighted assets ratio of 14.83% as of December 2022, showcase its financial stability.
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