Hatton National Bank's Strategic Move to Raise Rs12 Billion Through Debenture Issue

Sunday, 11 August 2024, 21:49

Hatton National Bank Plc (HNB) in Sri Lanka is set to raise up to Rs12 billion through a new debenture issue aimed at bolstering its capitalization in line with Basel III standards. This Tier 2, unsecured, and listed issue targets long-term funding for the bank's growth strategies. The move is part of HNB's initiatives to strengthen its financial position amid a competitive banking environment.
LivaRava Finance Meta Image
Hatton National Bank's Strategic Move to Raise Rs12 Billion Through Debenture Issue

Overview of HNB's Debenture Issue

Sri Lanka's Hatton National Bank (HNB) is planning to raise up to Rs12 billion through a new debenture issue. This strategic decision comes as part of the bank's efforts to enhance its capitalization and meet Basel III requirements.

Details of the Debenture Issue

  • Tier 2 capital compliant with regulations
  • Unsecured and listed on the stock exchange
  • Rated debentures to attract investors

The funding from this debenture will be directed towards supporting HNB's growth and financial stability, ensuring long-term viability in a challenging market.

Conclusion

Overall, HNB's decision to issue debentures is a proactive step in strengthening its financial foundation while adhering to global banking standards. This move showcases the bank's commitment to maintaining a robust capital structure to navigate future challenges effectively.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


Related posts


Newsletter

Get the most reliable and up-to-date financial news with our curated selections. Subscribe to our newsletter for convenient access and enhance your analytical work effortlessly.

Subscribe