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EBL to sell lands in Purbachal, Bashundhara

Staff Correspondent
29 Aug 2023 00:58:44 | Update: 29 Aug 2023 00:58:44
EBL to sell lands in Purbachal, Bashundhara

Eastern Bank Limited (EBL) has decided to sell 90 katha of land in the Purbachal and the capital’s Bashundhara to adjust its fixed asset-to-paid-up capital ratio.

The bank said on Monday in a disclosure on the Dhaka Stock Exchange (DSE) that the following two own plots of land at the prevailing market price, in compliance with the requirements of the respective regulatory authorities.

Those lands, Purbachal, are in Gazipur, Land 85.15 Katha, and Bashundhara R/A, Block A, Plot 19, Dhaka, Area of Land 5 Katha.

However, the amount expected to be generated by selling the lands was not mentioned in the disclosure.

The private commercial lender’s share price stood at Tk Tk29.40 each on Monday at the Dhaka bourse.

The bank paid 12.50 per cent cash and 12.50 per cent stock dividends to its shareholders for the year 2022.

The board of the bank made the decision as its fixed assets stand at more than 30 per cent of the paid-up capital.

Paid-up capital, also known as equity capital, is the amount of money a company has received from shareholders in exchange for shares.

A fixed-asset to equity-capital ratio is a ratio used to calculate a business’s ability to satisfy long-term debt.

In compliance with the requirements of the regulatory authorities, the bank plans to sell those lands.