The board of directors of United Commercial Bank (UCB) has decided to issue 'UCB 5th Subordinated Bond' worth Tk 10 billion to strengthen its capital base.
The bank will issue the bond as part of Tier-II regulatory capital, subject to approval of the regulatory authorities --- Bangladesh Bank and Bangladesh Securities and Exchange Commission (BSEC)-- the bank said in a filing with the Dhaka Stock Exchange (DSE) on Wednesday.
The bond will be unsecured, non-convertible, and redeemable with tenure of seven years, according to the filing.
Each share of the bank, which was listed on the Dhaka bourse in 1986, closed at Tk 15.80 on Wednesday, losing 0.63 per cent over the previous day.
The consolidated earnings per share (EPS) of the bank stood Tk 0.67 for July-September 2021 as against Tk 0.69 for July-September 2020.
The consolidated EPS was Tk 1.65 for January-September 2021 as against Tk 1.38 for January-September 2020.
The consolidated net operating cash flow per share (NOCFPS) was Tk 20.14 in negative for January-September 2021 as against Tk 16.59 in negative for January-September 2020.
The consolidated net asset value (NAV) per share was Tk 28.99 as on September 30, 2021 and Tk 27.44 as on September 30, 2020.
The bank disbursed 5.0 per cent cash and 5.0 per cent stock dividend for the year ended on December 31, 2020. In 2019, it also paid 5.0 per cent cash and 5.0 per cent stock dividend.
The bank's paid-up capital is Tk 12.78 billion and authorised capital is Tk 15 billion, while the total number of securities is 1.27 billion.
The sponsor-directors own 36.68 per cent stake in the bank while the government owns 0.81 per cent, institutional investors own 20.60 per cent, foreign investors 0.85 per cent and the general public 41.06 per cent as on October 31, 2021, the DSE data shows.