Dhaka, Bangladesh (BBN) – The country’s capital market regulator has approved the initial public offerings (IPO) proposals of two companies and two mutual funds.
The Securities and Exchange Commission (SEC) also gave approval to a financial institution to issue rights offer.
The Modern Poly Industries Limited, Alliance Holdings Limited, Prime Finance First Unit Fund and PHP First Mutual fund were given the go-ahead to be listed on stock exchanges.
The approvals were given at a commission meeting held at its office in the capital Dhaka on Wednesday with its Chairman Ziaul Haq Khondker in the chair.
The securities commission has approved four IPO proposals to jack up the share supply in the market, SEC’s executive director Anwarul Kabir Bhuiyan said after the meeting.
Mr. Kabir also said Phoenix Finance and Investment Limited will offer one rights share against five existing shares.
The company will issue 874,087 rights shares at an offering price of BDT 200 including a premium BDT 100 per share.
Under the book building method, Modern Poly Industries will offer 30 million ordinary shares. The face value of the shares is BDT 10 each whereas its indicative price is BDT 64.
The company’s paid-up capital is BDT 504 million and net asset value (NAV) per share and earning per share (EPS) are 26.62 and BDT 4.76 respectively as of December 31, 2009.
Following the similar method, Alliance Holdings Limited (AHL) will offer 35 million ordinary shares of BDT 10 each with an indicative price of BDT 88.
The company’s existing paid-up capital is BDT 1.0 billion. The company’s EPS and NAV are BDT 7.69 and BDT 10.35 respectively as of December 31, 2009.
The total size of the open-end Prime Finance First Unit Fund (PFFUF) is BDT 200 million. Of its total size, the fund will offload the units of BDT 170 million in the IPO. The remaining BDT 30 million will be contributed by the sponsors. The face value of the mutual fund’s unit is BDT 100.
Another closed-end mutual fund–PHP First Mutual Fund–has got the SEC nod with tenure of 10 years. The total size of the fund is BDT 2.0 billion. The fund will offload the units of BDT 1.0 billion in the IPO, whereas the face value of the unit is BDT 10.
BBN/SI/AD-26Aug10-12:48 am (BST)