ICB to float mutualfund with pension
Friday, 22 May 2009
FE Report
State-owned Investment Corporation of Bangladesh (ICB) is going to float pension
fund in the form of mutual fund for the first time in the country's stock markets.
The Securities and Exchange Commission (SEC) at a meeting Thursday approved the trust deed of the mutual fund styled 'ICB Employees Provident Fund One'.
The size and other criteria for the proposed fund are yet to be determined.
"This will be the first such mutual fund proposed by the ICB after bringing amendment to the mutual fund rules more then a year ago by the securities regulator," SEC executive director Anwarul Kabir Bhuiyan told reporters.
The amendment allows provident, pension and retirement funds to float mutual fund in the stock markets.
The commission also approved the application for offering initial public offering (IPO) worth Tk 1.0 billion by the 'EBL 1st Mutual Fund' and trust deed of the proposed Islamic Finance 1st Mutual Fund of Tk 200 million.
The SEC also decided that from now on the listed companies would have to submit to the commission and bourses information relating to their earning per share, net asset value, net operating cash flow per share at the time of adoption of their annual accounts.
"This decision has been taken so that the investors get clear picture over the financial strength of the company before making their investment," Bhuiyan said.
It also cut the dividend distribution time to 30 days from the existing 60 days.
"The new timeframe will be effective from July 1 next after publishing a gazette notification," said Bhuiyan.
Meanwhile, the Grameenphone (GP) submitted its response to some queries relating to the IPO as asked by the SEC earlier.
On January 28, GP, the country's largest mobile phone operator, submitted the IPO prospectus seeking to float IPOs worth $65 million (Tk4.49 billion).
The GP proposed to raise a total of $125 million, of which $ 65 million will be raised through the IPOs and the rest from pre-IPO private placement offer (PPO).
Rest $60 million (Tk 4.13 billion) worth of IPOs at Tk 7.40 per share has already been raised from local institutional investors through the PPO on December 4 last.
State-owned Investment Corporation of Bangladesh (ICB) is going to float pension
fund in the form of mutual fund for the first time in the country's stock markets.
The Securities and Exchange Commission (SEC) at a meeting Thursday approved the trust deed of the mutual fund styled 'ICB Employees Provident Fund One'.
The size and other criteria for the proposed fund are yet to be determined.
"This will be the first such mutual fund proposed by the ICB after bringing amendment to the mutual fund rules more then a year ago by the securities regulator," SEC executive director Anwarul Kabir Bhuiyan told reporters.
The amendment allows provident, pension and retirement funds to float mutual fund in the stock markets.
The commission also approved the application for offering initial public offering (IPO) worth Tk 1.0 billion by the 'EBL 1st Mutual Fund' and trust deed of the proposed Islamic Finance 1st Mutual Fund of Tk 200 million.
The SEC also decided that from now on the listed companies would have to submit to the commission and bourses information relating to their earning per share, net asset value, net operating cash flow per share at the time of adoption of their annual accounts.
"This decision has been taken so that the investors get clear picture over the financial strength of the company before making their investment," Bhuiyan said.
It also cut the dividend distribution time to 30 days from the existing 60 days.
"The new timeframe will be effective from July 1 next after publishing a gazette notification," said Bhuiyan.
Meanwhile, the Grameenphone (GP) submitted its response to some queries relating to the IPO as asked by the SEC earlier.
On January 28, GP, the country's largest mobile phone operator, submitted the IPO prospectus seeking to float IPOs worth $65 million (Tk4.49 billion).
The GP proposed to raise a total of $125 million, of which $ 65 million will be raised through the IPOs and the rest from pre-IPO private placement offer (PPO).
Rest $60 million (Tk 4.13 billion) worth of IPOs at Tk 7.40 per share has already been raised from local institutional investors through the PPO on December 4 last.