NDB Investment Bank raises Rs.30 billion in 2007

NDB Investment Bank (NDBIB) structured and executed a number of landmark transactions, revitalising the capital market.

In 2007, NDBIB raised 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 bank said. 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 market.

Some of the other deals handled by NDBIB's Advisory Division during the year included a diagnostic study carried out for a leading company in Power and Energy Sector and several business valuations for its clients in sectors such as plantation, manufacturing, food and beverages, trading and financial services.

NDBIB also structured an Employee Share Option Scheme for a premier bank in Sri Lanka. NDBIB also advised several of its clients on Mergers and Acquisitions and Business Divestments.

NDB Investment Bank CEO, Vajira Kulatilaka said NDBIB is hoping to introduce new products to the market and add novel features to the company's signature product, securitisation.

He said 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.