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DelMorgan & Co, a US-based investment bank, has sought the Bangladesh Bank’s assurance as it plans to invest in Padma Bank.
As part of the move, the global financial company’s Managing Director Samir Asaf will meet the Bangladesh Bank governor, Fazle Kabir, and other officials of the central bank’s Foreign Exchange Policy Department and Foreign Exchange Investment Department today.
The meeting will be held at the Bangladesh Bank head office at 4:30pm.
DelMorgan had sought information on Padma Bank’s equity, its overall condition, and the capital deficit of the overall banking sector in Bangladesh, said a high official of the central bank.
The organisation builds banking software and will market that to the Bangladesh Bank, as per the meeting agenda.
Padma Bank recently signed a memorandum of understanding (MoU) with DelMorgan to receive foreign investment.
Its Chairman Chowdhury Nafeez Sarafat and DelMorgan Chairman Rob Delgado were present at the MoU signing ceremony on September 2 last year.
Asaf, also the company’s head of global operations for Bangladesh, facilitated the ceremony of the potential $700 million debt and equity capital deal, which may involve changes in control of the bank, said a press release at the time.
Padma Bank recently received a no-objection certificate from the Bangladesh Bank to acquire foreign investment, but the latter had imposed some conditions, said a high official of the central bank.
Md EhsanKhasru, Padma Bank managing director and chief executive officer, could not be reached for comments.
The bank’s Director Mohammad Shams-Ul Islam told The Business Post the conditions imposed by the Bangladesh Bank would not apply to the private commercial bank.
He said the central bank might consider this at the next board meeting as the banking regulator also wants foreign investment in Padma Bank.
The central bank on October 5 last year sent a letter to the Financial Institutions Division, saying it would be better if Padma Bank could meet its capital deficit by bringing in investments from abroad.
