The Bangladesh Securities and Exchange Commission on Wednesday allowed Akij Food and Beverage Limited to raise Tk 500 crore through issuing zero-coupon bond.

The BSEC gave the approval at a commission meeting presided over by its chairman Khondker Rashed Maqsood, according to a press release issued by the commission on the day.

The nature of the bond would be unsecured, non-convertible and fully redeemable.

The tenure of the bond will be ranging from six months to a maximum of five years.

The face value of each unit of the bond will be Tk 10 lakh.

Only corporate bodies, corporate institutions, bank, insurance companies, high-net worth individuals and other eligible investors will be allowed to subscribe the bonds through private placement.

Sena Insurance PLC acts as the trustee for the bond while North Star Investments (BD) Limited is the mandated lead arranger for the bond.