Garima Bikas Bank Limited has published an offer letter to issue the “8.75 percent Garima Debenture 2085,” which bears an interest rate of 8.75 percent. The issue will be released on the 16th of Mangsir and will be closed on the 20th of Mangsir. If the deadline is not met in full, the deadline can be extended until the first Poush in 2078.
10,00,000 units will be issued at a par value of Rs. 1000 per unit, for a total of 10,000,000 units. 60% of the offer will be subscribed through private placement, with the other 40% available for general public sale, according to the company. Mutual funds have been allocated a total of 20,000 units, or 5% of the total number of units available in the public offering.
Investors can submit applications for a minimum of 25 units and a maximum of 1 lakh units in the scheme. It has been decided to use the firm NIBL Ace Capital as the issue manager. Meanwhile, ICRA Nepal has assigned a BBB-1 rating to this debenture, suggesting a moderate risk of failure to meet financial commitments.
The “8.75 percent Garima Debenture 2085” has a maturity duration of seven years and will generate an annual return of 8.75 percent over that time period, as indicated by its name.