Dhaka, Bangladesh (BBN) – The Securities and Exchange Commission (SEC) has given its consent to Social Islami Bank Limited (SIBL) and Sonargaon Textiles for issuing rights shares at the ratio of 1:1, officials said.
The approvals of two rights offers and the condition of appointing merchant bank’s chief came at a commission meeting held at the office of the SEC in Dhaka on Tuesday.
The capital market regulator has also included a provision to the laws of merchant banks regarding regulator’s permission before appointing the bank’s managing director or chief executive officer (CEO).
The SEC spokesman Mohammad Saifur Rahman said from now on the merchant banks will have to take regulators’ consent before appointing their managing director or CEO, whoever will be the chief of the bank.
Sonargoan Textiles will issue one rights share against one existing share at an offer price of BDT 150 per share, with a premium of BDT 50. The company will issue more than 1.091 million rights shares worth more than BDT 163.68 million, according to the SEC nod.
On the other hand SIBL will also issue one right share against one existing share at an issue price of BDT 10, without any premium.
As per regulatory approval, the company will issue more than 298.7 million rights shares worth above BDT 2.98 billion.
BBN/SSR/AD-02Mar11-1:09 am (BST)