The Bangladesh Securities and Exchange Commission (BSEC) on Wednesday approved a prospectus for the Initial Public Offering (IPO) of Dominage Steel Building Systems Ltd to raise Tk30 crore.
The stocks regulator also gave go-ahead to two private commercial banks – NCC Bank and Standard Chartered Bank, Bangladesh – to issue bonds worth Tk1,350 crore.
The BSEC gave the approval at a commission meeting held in Dhaka on Wednesday. BSEC chairman Prof Shibli Rubayat Ul Islam presided over the meeting.
Under the fixed price method, Dominage Steel Building Systems will offload three core ordinary shares for Tk10 each.
Net proceeds from the IPO will be used for procurement and installation of machinery for the existing factory building and to meet the IPO expenses.
According to the financial statement ended on June 30, 2019, the company's net asset value (NAV) per share was Tk19.81, while earnings per share (EPS) was Tk1.49.
Shahjalal Equity Management Limited will act as the issue manager for the IPO process.
Besides, the meeting approved Standard Chartered Bank, Bangladesh’s Tk850 crore zero coupon bond, the first foreign bank in the country to do so.
The purpose of the issuance is to meet the ongoing financial requirement on capital base of the bank company. Per-unit price of the bond is Tk1o lakh.
The units will be sold to banks, financial institutions, insurance companies, corporate bodies, asset management companies and mutual fund entities through private placements in cash consideration. Green Delta Insurance Company Limited will act as the trustee for the bond.
At Wednesday’s meeting, the BSEC also approved NCC Bank Limited’s perpetual bond, worth Tk500 crore.
The Bank bond will strengthen its capital base and meet its capital requirement under additional Tier 1 only through private placement, with a per-unit price of Tk1 crore.
