Dhaka, Bangladesh (BBN)– The Bangladesh’s securities regulator has approved the proposal of BDT 5.0 billion non-convertible floating rate sub-ordinate bond to be issued by Southeast Bank.

The regulatory approval came on Wednesday at a meeting held at the office of the Bangladesh Securities and Exchange Commission (BSEC) in the city.

The tenure of the bond will be seven years.

The bond will be issued to local financial institutions, insurance companies, corporate bodies and other eligible investors through private placement. The company will raise capital through bond issue to fulfil the requirement of Tier-II Capital Base.

Each share price of the bank, which was listed on the Dhaka bourse in 2000, closed at BDT 18.90 on Wednesday at Dhaka Stock Exchange (DSE), remaining unchanged over the previous session.

The bank has also reported consolidated earnings per share (EPS) of BDT 1.29 for July-September, 2017 as against BDT 1.07 for July-September, 2016.

In nine months, for January-September, 2017, consolidated EPS was BDT 2.58 as against BDT 2.49 for January-September, 2016.

The consolidated net operating cash flow per share (NOCFPS) was BDT (5.66) for January-September, 2017 as against BDT 14.75 for January-September, 2016.

The consolidated net asset value (NAV) per share was BDT 29.35 as on September 30, 2017 and BDT 29.47 as on September 30, 2016.

The bank disbursed 20 percent cash dividend for the year ended on December 31, 2016.

The bank’s paid-up capital is BDT 9.16 billion and authorised capital is BDT 15 billion while the total number of securities is 916.95 million.

The sponsor-directors own 32.34 percent stake in the bank, while the institutional investors own 29.66 percent, foreign investors 7.0 percent and the general public 31 percent as on January 31, 2018, the DSE data shows.

The BSEC has approved the proposal of rights shares to be issued by Zaheen Spinning. The company will issue one rights share against one existing share at an offer price of BDT 10 each.

As per the BSEC approval, the company will issue above 98.55 million shares to raise a capital worth above BDT 985.52 million. The company will utilise the fund for expansion of business and capital along with partial repayment of loans.

The company reported net asset value (NAV) per share of BDT 14.07 and earnings per share (EPS) of BDT 1.39 for the year ended on June 30, 2017.

At Wednesday’s meeting, the securities regulator approved the draft prospectus of BCB ICL Growth Fund. The initial size of the fund will be BDT 250 million. The sponsors will contribute BDT 100 million, while remaining BDT 150 million will come through sales of units of the fund. The face value of the units is BDT 10 each.

Commerce Bank and Impress Capital, a fund manager, are the sponsors of BCB ICL Growth Fund. Investment Corporation of Bangladesh (ICB) is the trustee of the fund, while BRAC Bank is the custodian of the fund.

The securities regulator has also extended the timeframe by one year for completing formalities of signing agreement with strategic partner by the Chittagong Stock Exchange (CSE).

The existing deadline will end on March 8, 2018. The port city bourse will is looking for strategic as part of demutualisation process.

BBN/SSR/SR