DSE to decide MI Cement listing today

The board of directors of Dhaka Stock Exchange (DSE) decides MI Cement listing issue today (Tuesday). Sources in the DSE said Monday, the board will sit today only to discuss the latest compensation proposal offered by MI Cement authority for listing. MI Cement authority proposed to compensate its primary shareholders from directors' money if any shareholders sell hisher shares under the indicative price within six months of trading. Each indicative share price of the company has been fixed at Tk 111.60. Meanwhile, the source said the board is most unlikely to give listing permission on the basis of compensation proposal. Explaining this, an influential member of the DSE told the FE that proposed compensation was a complicated process. Compensation should be not the basis for listing. "Rather the company could have declared to buy the shares if the prices went below a certain level through an appointed underwriter" he added. However, MI Cement authority has completed all its preparation to get listed with the bourses. As part of the preparation, the directors of MI Cement have opened a bank account and deposited Tk 50 million to compensate its shareholders. They have also requested the CDBL authority to transfer 7.5 million directors' shares to the DSE accounts. - Asaduzzaman Pallab