FEDO opens MVR 55 million bond offer

FEDO Pvt Ltd, one of the Maldives’ leading construction firms, has opened a MVR 55 million bond for investment.

The bond is being offered through the Maldives Stock Exchange’s private securities platform, Viyana, with Dhivehi Investments acting as principal adviser. Subscriptions will remain open until 20 September.

It is the first financial instrument of its kind to be issued by a Maldivian construction company on the domestic capital market.

The bond is structured as a conventional fixed income instrument, carrying an annual interest rate of 8.5 percent payable twice a year over a five year term. The minimum investment is 10 bonds (MVR 10,000).

For example, an investment of MVR 100,000 would yield MVR 24,966 annually, including both principal and interest.

Proceeds from the bond will finance FEDO’s planned Savor premium urban retreat and lounge facility in Hulhumale'.

The project will feature high-end accommodation, a state-of-the-art gym and infinity pool, exclusive conference spaces and other premium facilities aimed at tourists and corporate clients.

FEDO has been active in the Maldives’ construction and real estate sectors for more than two decades.