Prime Bank Ltd has received consent from the Bangladesh Securities and Exchange Commission to raise Tk 300 crore by issuing bonds.

The non-convertible, unsecured, fully redeemable, floating rate Prime Bank subordinated bond to be issued through private placement is aimed at enhancing the Tier II capital base, said the private commercial lender in a post on the Dhaka Stock Exchange today.

Tier 2 is designated as the second or supplementary layer of a bank's capital and is composed of items such as revaluation reserves, hybrid instruments, and subordinated term debt.