NDB structures credit card securitization for RPC
NDB Investment Bank (NDBIB) has structured the first ever credit card
receivables securitization transaction in the Sri Lankan capital market
on behalf of Richard Pieris Distributors Limited (RPD). The transaction
involved securitising future credit card receivables of the selected
Arpico Super Market outlets to raise more than Rs 1.0 billion over a
five year period.
NDB Bank CEO Russel de Mel and RPC Chief Operating Officer
Pravir Samarasinghe exchange agreements. |
NDB Group Investment Banking Cluster CEO Vajira Kulatilaka said
“NDBIB, as in the past has been able to introduce another innovative
product to the capital market through the securitization of Credit Card
Receivables for RPD”. NDB Investment Bank CEO Darshan Perera said “a lot
of effort has been put in by the teams at NDBIB and RPD to make this
transaction a reality and this product would be one of many products
that would be introduced to the capital market in the near future.”
Richard Pieris Distributors Limited (RPD) operates the Arpico Super
Market chain and the funds were raised to finance its retail expansions.
Popularity of supermarkets among modern day customers has been
increasing in recent times due to the availability of a wide range of
products, including groceries and general merchandise under one roof at
an affordable price.
NDB Investment Bank Limited (NDBIB), acted as the structuring and
placement agent to the transaction.
The funds were raised through several investors including a
consortium of Banks and Unit Trusts.
National Development Bank PLC acted as the Escrow Agent. |