UB Finance raises Rs.2 b in rights issue
View(s):UB Finance Co. Ltd, a subsidiary of Union Bank of Colombo PLC, has successfully concluded a Rights Issue to raise approximately Rs. 2 billion to strengthen the company’s balance sheet and meet the revised capital thresholds set out by the Central Bank.
The core capital of the company is now Rs. 2.67 billion while the Tier 1 Capital Adequacy Ratio and Total Capital Adequacy Ratio is 30.12 percent and 30.27 percent respectively making UB Finance one of the highest capitalized finance companies in the industry, it said in a media release.
“The company has recorded significant progress since its acquisition by Union Bank of Colombo PLC in 2011 and has established itself as a premier financial services provider in the island. The management is optimistic about the future and will utilise the new capital to propel the company into its next phase of growth,” the release said.