DSE for no quota in IPOs for mutual funds
Thursday, 9 April 2009
FE Report
Dhaka Stock Exchange (DSE) will propose for cancellation of quota reserved in IPOs for mutual funds to ensure wider participation of general investors in the public subscription of public limited companies.
Currently a 10 per cent quota of an IPO is reserved for mutual funds.
DSE in a board meeting Wednesday discussed the issue and decided to place a proposal to the Securities and Exchange Commission (SEC) in this regard.
The board also discussed the proposals for not allowing floatation of mutual funds below Tk 1.0 billion, disclosure of net asset value on daily basis, introduction of circuit breaker from the debut trading day of each mutual funds, meeting sources added.
The DSE board also approved the listing of Bay Leasing and Investment Limited, a non-banking financial institution (NBFI).
The share trading of the company begins in the bourses Sunday.
It will be the 18th listed NBFI.
Through initial public offering (IPO), the company has raised Tk 102 million floating 1.02 million ordinary shares. The paid up capital of the company after IPO stood at Tk 204 million.
The subscription of the company opened on January 18 while closed January 25 for resident Bangladeshis and January 31 for non-resident Bangladeshis.
Lottery for share allotment was held on February 15, 2009.
Dhaka Stock Exchange (DSE) will propose for cancellation of quota reserved in IPOs for mutual funds to ensure wider participation of general investors in the public subscription of public limited companies.
Currently a 10 per cent quota of an IPO is reserved for mutual funds.
DSE in a board meeting Wednesday discussed the issue and decided to place a proposal to the Securities and Exchange Commission (SEC) in this regard.
The board also discussed the proposals for not allowing floatation of mutual funds below Tk 1.0 billion, disclosure of net asset value on daily basis, introduction of circuit breaker from the debut trading day of each mutual funds, meeting sources added.
The DSE board also approved the listing of Bay Leasing and Investment Limited, a non-banking financial institution (NBFI).
The share trading of the company begins in the bourses Sunday.
It will be the 18th listed NBFI.
Through initial public offering (IPO), the company has raised Tk 102 million floating 1.02 million ordinary shares. The paid up capital of the company after IPO stood at Tk 204 million.
The subscription of the company opened on January 18 while closed January 25 for resident Bangladeshis and January 31 for non-resident Bangladeshis.
Lottery for share allotment was held on February 15, 2009.