NRB Bank is gearing up for its initial public offering (IPO) subscription, scheduled to begin on January 28, 2024, and extend until February 1. The Bangladesh Securities and Exchange Commission (BSEC) granted approval on November 9 for the bank to raise Tk100 crore by issuing new shares at Tk10 each as part of the IPO. NRB Bank plans to allocate Tk92 crore to government securities, Tk4.17 crore to the secondary market, and Tk3.83 crore to cover IPO expenses.
As of January to September 2023, the bank reported a consolidated net interest income of Tk72 crore, a decline from Tk96 crore in the same period in 2022. The consolidated net profit after tax for the same period stood at Tk16 crore, with earnings per share at Tk0.27, compared to Tk55 crore and Tk0.94 in 2022, respectively. The net asset value per share as of September 30, 2023, was Tk12.72.
UCB Investment and Shahjalal Equity Management Ltd have been appointed as the issue managers for NRB Bank’s IPO. The bank’s authorised capital is Tk1,000 crore, with a paid-up capital of Tk590.59 crore. Established in 2013, NRB Bank offers a diverse range of products and services across retail banking, SME banking, NRB banking, corporate banking, and e-banking. With 50 branches, 24 sub-branches, 50 ATM booth outlets, and 308 agent outlets nationwide, the bank aims to further expand its reach.
According to the bank’s prospectus, as of September 2023, the non-performing loan (NPL) ratio stood at 6.10%, compared to 3.22% a year earlier. The capital adequacy ratio was reported at 14.19%, down from 16.60% in 2022. During the same period, the bank’s total loans and advances increased to Tk5,697 crore from Tk4,949 crore at the end of December 2022, with total liabilities reaching Tk7,575 crore as of September 2023.
