National Development Bank PLC (NDB)’s Basel III compliant GSS+ bond issue has been oversubscribed after receiving applications for more than 160 million bonds, exceeding the initial offering, according to a filing made to the Colombo Stock Exchange.

The bank had launched an initial issue of up to 120 million Tier 2 listed, rated, unsecured, subordinated, and redeemable Basel III compliant GSS+ bonds at a par value of Rs. 100 each. The issue was intended to raise Rs. 12 billion.

The bond carries a non-viability conversion feature and is offered with five-year (2026-2031) and seven-year (2026-2033) maturities. The bank also retained the option to issue a further 40 million bonds, allowing it to raise up to an additional Rs. 4 billion in the event of an oversubscription of the initial issue. 

In a communication to the Colombo Stock Exchange dated 10 March, the bank stated that demand had exceeded the initial offering, resulting in the Basel III compliant GSS+ bond issue being oversubscribed.

Accordingly, the issue closed on 10 March as specified in the prospectus, with applications received on the day also being accepted.