Askari Bank Limited has announced plans to redeem its Rs6 billion (USD 21.14 million) subordinated, unsecured Term Finance Certificates (TFCs) in full by exercising a call option.
The listed bank disclosed the development in its notice to the Pakistan Stock Exchange (PSX) on Friday.
“Notice is hereby given to the TFC Holders of the rated. subordinated and unsecured TFCs in the aggregate amount of PKR 6,000,000,000/- of Askari Bank Limited, that the Issuer wishes to exercise the call option in full in respect of the TFC Issue in accordance with Clause 3.12 of the trust deed dated December 24, 2019, executed between the issuer and Pak Oman Investment Company Limited,” read the notice.
The redemption, set for September 17, 2025, will cover the entire outstanding principal along with accrued profit up to the date, subject to applicable taxes and Zakat deductions, Askari said.
For determining eligibility, the bank will close the transfer books for the TFCs from September 2 to September 16, 2025 (both days inclusive).
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Askari Bank Limited was incorporated in Pakistan on October 9, 1991, as a Public Limited Company. The bank is a scheduled commercial bank and is principally engaged in the business of banking as defined in the Banking Companies Ordinance, 1962.
The ultimate parent of the bank is the Fauji Foundation.
