NDB Investment Bank raises Rs. 30 billion

NDB Investment Bank (NDBIB) is hoping to introduce new products to the market and add novel features to the company’s signature product, securitization, according to a press release.

NDB Investment Bank CEO, Mr. Vajira Kulatilaka said that the company’s main strength is its dynamic team of investment professionals and that the company encourages them to pursue local and foreign Master’s programmes and enrich the knowledge base of the company on their return.

In 2007, NDBIB raised approximately Rs. 30 billion from the market through equity as well as quasi equity and structured debt instruments offering cost effective fund raising opportunities to its clientele, the release said, adding that during the year, NDBIB was instrumental in executing several landmark deals, which included the largest ever Rights and Preference Share Issues, to be executed in the Sri Lankan capital market.

NDBIB acted as the Financial Advisor and Manager to the Rs.15.5 Billion rights issue of Dialog Telekom PLC, which is the largest equity raising in the Colombo Bourse. NDBIB also designed a unique structure for Dialog Telekom PLC to raise Rs. 5.0 Billion via a private placement of Rated Cumulative Redeemable Preference Shares with the participation of leading local and foreign banks and financial institutions. This transaction was the largest ever Preference Share issue to take place in Sri Lanka.

The above mentioned transactions were consummated in a difficult environment particularly in the equity marke,” Kulatilaka noted.

Currently, NDBIB is mandated by several reputed clients to advise and guide them towards obtaining a listing on the Colombo Stock Exchange and raise equity financing via Initial Public Offering (IPO). NDBIB intends to bring these IPOs spread across diversified sectors of the economy to the Sri Lankan Capital Market in the near future, the statement added.

NDBIB’s Debt Unit raised over Rs. 9.0 Billion by way of Securitisations, Debentures, Structured Loans and Commercial Papers. Some of the structured instruments were designed with unique features to suit the clients as well as the risk profiles of the investors. Amongst these were Debenture issues aggregating to Rs.1.0 Billion for clients in the footwear sector and consumer durables sector. NDBIB also structured and placed over 20 securitisation transactions, one of which included the largest ever Securitisation transaction carried out for Senkadagala Finance Company Limited.