UCB gets BSEC approval for Tk775cr rights issue to meet capital requirement
Under the offer, UCB will issue 77.51 crore rights shares at a face value of Tk10 each, with shareholders entitled to one rights share for every two existing shares.
The Bangladesh Securities and Exchange Commission (BSEC) has approved United Commercial Bank PLC (UCB) to raise Tk775.18 crore through a rights share offering, enabling the bank to meet the central bank's minimum paid-up capital requirement for dividend eligibility.
The approval came at the regulator's commission meeting yesterday, according to a BSEC press release.
Under the offer, UCB will issue 77.51 crore rights shares at a face value of Tk10 each, with shareholders entitled to one rights share for every two existing shares. The bank said the proceeds will be used to strengthen its capital base and support business operations.
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The rights issue will increase UCB's paid-up capital from Tk1,550.37 crore to Tk2,326 crore, taking it above the Tk2,000 crore minimum threshold recently set by Bangladesh Bank for commercial banks seeking to declare dividends.
For the January-March quarter of 2026, UCB reported consolidated earnings per share (EPS) of Tk0.07, up from a restated Tk0.04 in the same period a year earlier. The bank attributed the improvement to stronger performance by its subsidiaries.
However, consolidated net operating cash flow per share (NOCFPS) fell to negative Tk4.22 from positive Tk6.98 a year earlier. According to the bank, the decline resulted from higher loan disbursements and investments relative to deposit growth, alongside lower net interest income.
As of 31 March 2026, UCB's consolidated net asset value (NAV) per share stood at Tk25.97.
At the same meeting, the BSEC also approved the draft prospectus of the Blue-Wealth First Stable Return Fund, an open-end mutual fund with an initial target size of Tk30 crore.
Its sponsor, Blue-Wealth Assets Limited, has contributed Tk3 crore, while the remaining Tk27 crore will be raised from general investors. The fund's unit price has been fixed at Tk10.
Blue-Wealth Assets Limited will serve as the fund manager, while Sandhani Life Insurance Company and Commercial Bank of Ceylon PLC will act as the trustee and custodian, respectively.
