NDB Shores Capital As It Plans To Showcase An Aggressive Growth
Posted 19,March

By Chaveendra Dunuwille

In Local News

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National Development Bank PLC (NDB) is a LKR 627 billion assest rich bank that reported earnings of LKR 5.1 billion for 2020. An astonishing 7% increase from 2019. While successfully dealing with the economic headwinds brought about by the pandemic the bank has set its sights on its next big objective.
With ambition of joining the LKR trillion club in the next five years the bank has turned acquisitive as a means of accelerating growth throughout 2025. The trillion club venture will require the bank to have a gross asset book by 10% every year.
The revised growth plan which focuses primarily on acquisition has been approved by the board of directors and the banks has already lined up a considerable amount of capital to support this accelerated growth.
The bank partnered with NORFUND, the Norwegian Development Finance Institution for the largest equity infusion by a foreign investor since 2014 where they invested over 3 billion LKR for a 9.99% stake in NDB equity. Furthermore the recent rights issue will net 8 billion LKR and will serve as a platform to pursue organic and inorganic growth while enhancing the company’s capital according to NDB Chairman Eshana De Silva.