Union Bank of Sri Lanka is eyeing East Asian investors to help raise its Tier 2 capital after succesfully raising nearly Rs5 billion for Tier 1, according to local media reports. 

The bank went public in March 2011 to generate funds for branch expansion and bolster its core banking products and services. Tier 1 refers to a bank's core capital, including common stock and sometimes non-cumulative preferred stock, while Tier 2 refers to supplementary capital. 

Speaking at the launch of the firm's new Galle Road headquarters in Colombo, Anil Amarasuriya, director and chief executive, said the bank is looking at Malaysia, Singapore and Hong Kong, where Genting Group has a significant presence. Genting owns 29 per cent of Union Bank.

"We strongly feel that with the predicted high economic growth rates, the banking and finance sector will continue positively in driving the country's way forward," Amarasuriya was quoted as saying. 

Union Bank has a total of 19 branches across Sri Lanka.