Rights offer of ICB, IPO of Hamid Fabrics approved

The securities regulator has approved the rights offer of the Investment Corporation of Bangladesh (ICB) and the IPO (initial public offering) proposal of Hamid Fabrics, officials said.
The decisions were taken at a commission meeting held at the office of the Bangladesh Securities and Exchange Commission (BSEC).
At Tuesday's meeting, the regulator has also approved the proposal Tk 3.0 billion Non Convertible Zero Coupon Bond to be issued by the LankaBangla Finance.
As per regulatory approval, the ICB will issue one rights share against two existing shares (1R:2) at an offer price of Tk 500, including a premium of Tk 400 for each Tk 100 share.
The state-run company will raise a fund worth above Tk 10.54 billion by issuing above 21 million ordinary shares.
The ICB will invest the fund in primary and secondary market along with the repayment of the loans.
The Hamid Fabrics will raise a fund worth Tk 1.05 billion by offloading 30 million shares under the fixed price method.
The offer price of the company's shares is of Tk 35.0, including a premium of Tk 25.0 for each ten taka share.
The company's earning per share (EPS, weighted average of five years) and net asset value (NAV) are Tk 2.97 and Tk 41.14 respectively for the year ended on June 30, 2013.
The securities regulator has also allowed the listed company Active Fine Chemicals (AFC) to raise a capital worth Tk 1.2 billion by issuing shares among the existing shareholders and institutional investors.
As per the BSEC approval, the AFC will issue the shares at an offer price of Tk 60, including a premium of Tk 50 for each ten taka share.
The securities regulator has decided to collect public money for the IPO shares through the brokerage firms from September, 2014 to introduce the proposed IPO process.