The Bangladesh Securities and Exchange Commission (BSEC) has intervened to safeguard everyday investors in three listed non-bank financial institutions (NBFIs), asking Bangladesh Bank (BB) to hold off on closing them down or removing them from the stock exchange until shareholder rights are secured.
In an official message to the central bank governor, the stock market regulator stressed that retail investors should not suffer the fallout from the financial collapse of these struggling companies, sources stated.
The three financial firms—Fareast Finance & Investment, International Leasing and Financial Services, and FAS Finance & Investment—are heading toward closure after Bangladesh Bank judged them unsalvageable owing to continuous losses and complete capital loss.
These three are part of a group of four financial institutions placed under formal resolution by BB through an instruction issued on August 10 under the Bank Resolution Act, 2026.
The BSEC's step comes at a crucial moment, as resolving a failing financial firm usually leads to restructuring, moving assets and debts, shutting operations, or canceling stock listings—moves that can deeply impact everyday stock owners.
A central recommendation from the BSEC is that if the government offers financial relief to any group during the resolution, a share of that aid should go to small investors.
The commission also suggested a formula to figure out a baseline valuation for retail shareholders' stakes prior to any shutdown.
This suggestion is vital for small-scale investors who bought stock in these listed NBFIs through the exchange and risk losing almost everything if the firms are closed down or delisted without a plan to reimburse them.
The BSEC has additionally resisted any effort to shut down or delist the three firms until the rights of public shareholders are properly evaluated and published.
As an alternative, a set buyback price should be calculated and openly announced for the shares owned by retail investors, it noted.
Adopting such a rule would give stock owners a clear understanding of what their holdings are worth before the companies are removed from the exchange for good.
The market regulator has also asked BB to include it in talks regarding investor safety whenever the resolution of these firms is discussed with government authorities.
Furthermore, the BSEC requested to be kept updated on progress throughout the closure process.
Fareast Finance posted negative earnings per share (EPS) of Tk3.75 and a negative net asset value (NAV) per share of Tk54.23 for the January–September 2025 period.
International Leasing recorded an EPS of negative Tk6.71, while its NAV per share collapsed to negative Tk219.03 over the same months.
FAS Finance showed an even heavier loss with an EPS of negative Tk10.34 for January–June 2026, as its NAV per share sank deeper to negative Tk158.39.
