ADK sells first bond tranche for MVR 50 million

ADK Hospital has sold the first tranche of its MVR 120 million bond for MVR 50 million.

The tranche offer was first opened on April 15, which sold within 15 days.

According to the hospital's lead arranger and principal advisor, First National Finance Corporation, the second tranche sale would be opened very soon.

First National Finance Corporation manages the entire bond, which they have structured as well.

ADK's bond will be issued in three tranches, with the annual coupon rate being at eight percent. These bonds are sold for five years.

ADK Hospital said the bond is being sold to further diversify its services and establish infrastructure needed for the additional health services. This includes building an additional 15 storey building.

According to First National, the project would revolutionise Maldives' health sector, with new health services previously not available in the country.

Ahmed Affal, managing director of the hospital, said the successful sale of the hospital's first tranche demonstrates that investors are confident in the company's plans for the country's health sector.

First National's CEO Hassan Ziyath said the success of the bond shows the interest of investors in Maldives' capital market.