KARACHI, Aug 16: The inaugural Term Finance Certificates (TFCs) of Muslim Commercial Bank Limited has been oversubscribed by 6 times.

As per initial subscription figures released by the banks, a total of Rs1207.78 million was received against Rs200 million offered to the general public, making it the largest ever public subscription received for a TFC offering to date.

The total issue consists of Rs1600 million out of which Rs1400 million have been taken up by pre-IPO investors.

This was the first subordinated TFCs issued by a banking company in Pakistan and massively attracted public response.

Investors who applied through the public offer belong to various categories such as provident/pension/gratuity funds/trust, insurance companies, financial institutions and individual investors.

The issue was advised and arranged by the Consortium of ABN AMRO NV, Pakistan, Jahangir Siddiqui & Co. Ltd and Global Securities Pakistan Ltd.

The issue has been assigned a rating of A+ (A-plus) by JCR-VIS Credit Rating Agency, offering a minimum rate of 11.75 per cent and a maximum of 15.75 per cent for a tenure of 5-1/2 years.—APP