City Bank Limited recently signed agreements with some banks and financial institutions on issuing Coupon-Bearing Subordinated Bond worth Tk 3 billion.

IDLC Finance Limited is the arranger of the issue, said a press release issued on Thursday.

The issue will enhance Tier-II capital of The City Bank Limited following “Guideline of Risk-Based Capital Adequacy” of Bangladesh Bank and therefore ultimately increase issuer’s Capital Adequacy Ratio (CAR), the press release said.

Mercantile Bank, Brac Bank, Meghna Bank, IDLC Finance, NRB Bank, NRB Commercial Bank, Pubali Bank, SABINCO, Dhaka Bank and United Leasing Company are the subscribers of the bond.

Fauk M. Ahmed, Acting Managing Director of The City Bank Limited, Selim R. F. Hussain, CEO and Managing Director of IDLC Finance Ltd and senior executives of subscriber banks and financial institutions signed the agreements on behalf of their organisations.