Machhapuchchhre Bank Will Issue Debentures Worth Rs 3 Arba

The ‘8% Nabil Debenture 2085′ will be floated by Nabil Bank.

Machhapuchchhre Bank is currently issuing debentures. On Baisakh 15, 2078 BS, the bank submitted an application to SEBON for the issuance of debentures. If SEBON approves, the bank will issue 30 lakh units of the debenture.

Each debenture unit has a par value of Rs 1,000. As a result, the total debenture issue is Rs 3 Arba. The bank will sell 18 lakh units of debenture worth Rs. 1.80 Arba through private placement out of the total issue. Similarly, the general public may apply for the remaining 12 lakh units, which are worth Rs. 1.20 Arba. Mutual funds will receive 5%, or 60,000 units, of the public issue size of 12 lakh units.

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The bank will pay 8.5 percent interest on the debenture semi-annually. The debenture has a 10-year maturity period. As a result, the principal amount on 2087 BS will be refunded by Machhapuchchhre Bank.

The debenture’s issuer and sales manager is Nabil Investment Banking Limited.

With interest rates on the decline in the current financial market, the debenture issue is likely to garner attention. Because the interest rate on this debenture is higher than the interest rate on a fixed deposit, investors may want to consider purchasing the issue as a long-term investment option.