Dhaka, Bangladesh (BBN) - Deputy Chairman of Beximco Group Salman F Rahman will purchase half a million shares of his group's flagship company at the prevailing market price by October 31 this year, an announcement has said.
The announcement to buy Beximco Limited shares was made through a regulatory posting at the official website of the Dhaka Stock Exchange (DSE) on Thursday.
“Mr. Salman F Rahman, one of the Sponsors/Directors of the Company, has reported his intention to buy 5,00,000 shares of the Company at prevailing market price through Stock Exchange within 31st October 2011,” the announcement said.
The declaration came a day after Mr. Rahman, also the president of Bangladesh Association of Publicly Listed Companies, announced that sponsor-directors of listed firms would purchase their companies' stocks in an effort to prop up the flagging share market.
When asked, Mr. Rahman, however, said he made the purchase decision in line with the Securities and Exchange Commission's provisions.
"Under such provisions, I can buy my shares at the prevailing market price," Mr. Rahman was quoted by the Financial Express (FE), a local newspaper, as saying.
He also said sponsor-directors of the listed companies will be able purchase their own shares and can play a big role in boosting the capital market if regulator eases the existing bindings.
"We hope the issue is likely to be solved next week," Rahman added.
BBN/SSR/SI-23Sept11-7:20 pm (BST)