2024-09-26 16:17:39
The category of 27 companies listed in the capital market has been changed. Dhaka and Chittagong Stock Exchange (DSE-CSE) will transfer the companies from ‘A’ and ‘B’ category to ‘Z’ category. The shares of the companies will trade in the ‘Z’ category from tomorrow, Thursday (September 26).
This information is known from the sources of Bangladesh Securities Exchange Commission (BSEC), the capital market regulatory body.
The companies are – National Bank, BD Thai, Central Pharma, Phoenix Finance, Olympic Accessories, Western Marine Shipyard, National Tubes, Miracle Industries, GSP Finance, Anlima Yarn, Atlas Bangladesh, Bay Leasing, Libra Infusion, Lube-Ref BD, SK Trims , Shepherd Industries, VFS Threads Dyeing, Energypack, Fortune Suze, Pacific Denims, Khulna Printing, Advent Pharma, Desh Garments, Beach Hatchery, Indobangla Pharma, Far Chemical and Associated Oxygen.
DSE has asked the company, which has undergone a category change, to refrain from giving any loan facility to stockbrokers and merchant banks from September 26.
It is known that Dhaka Stock Exchange (DSE) has transferred these companies to ‘Z’ category on the instructions of BSEC due to violation of several securities laws. Earlier, on May 20, Bangladesh Securities and Exchange Commission (BSEC) issued a directive to transfer shares of any company to Z category. The directive mentioned several conditions, if any one of the conditions is violated, the Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange Exchange (CSE) may transfer the company to Z category.
According to the BSEC guidelines, listed companies will be shifted to Z category if they fail to declare any dividend for two consecutive years from the date of last dividend declaration or from the date of listing on the stock exchange.
Also if the company fails to hold Annual General Meeting (AGM) within a specified period as per law the same will be decided. However, in case of non-holding of AGM as a result of any writ petition or legal proceedings pending in court, i.e. subject to sub-judice or force majeure, a maximum period of 2 years may be considered for transfer to Z category.
It further states, if the listed company is not in continuous production for a minimum of six months without any such period for renovation or BMRE (Rebalancing, Modernization, Rehabilitation and Expansion), it will be shifted to Z category.