Sampath Bank PLC has received in-principle approval from the Colombo Stock Exchange (CSE) to list 100 million Basel III compliant convertible debentures under a new debt securities issuance scheduled for 2025.

The bank’s issuance will commence with an initial offering of 50 million basel III compliant tier 2 listed rated unsecured subordinated redeemable five-year debentures (2025/30). These debentures, bearing a fixed interest rate of 11.75% per annum (AER 11.75%) and a non-viability conversion feature, will be offered at a par value of Rs. 100 each.

Sampath Bank has also reserved the option to expand the offering in case of oversubscription. The bank may issue up to an additional 20 million debentures, followed by a potential further issuance of 30 million debentures. The total maximum capital to be raised through this issuance is Rs. 10 billion.

The subscription list for this offering will officially open on 18 March.