2024-02-18 07:17:28
Shares of 22 companies listed in Dhaka Stock Exchange (DSE) have started trading in ‘Z’ category from Sunday (February 18). Failure to hold Annual General Meeting (AGM) within stipulated time, closure for more than six months and liabilities exceeding assets have shifted the companies to ‘Z’ category.
Dhaka Stock Exchange Authority transferred the companies to ‘Z’ category before the start of trading on this day. Later, from 10 o’clock the trading of companies in ‘Z’ category started.
Earlier the number of companies in ‘Z’ category in DSE was 27. With the addition of 22 more companies, the number of ‘Z’ category companies on DSE has increased to 49 since Sunday (February 18).
On February 15, the capital market regulatory body Bangladesh Securities and Exchange Commission (BSEC) has reportedly taken such a decision.
The companies are Alltex Industries, Aramit Cements, Aziz Pipes, Delta Spinning, FAS Finance & Investment, GBB Power, Intech, International Leasing & Financial Services, Kaya Cosmetics, Khulna Printing & Packaging, National Tea, Premier Leasing & Finance, Regent Textiles, Renwick Yajneshwar, Ring Shine Textiles, Safco Spinning, Standard Ceramics, Dhaka Dyeing, Union Capital, Uttara Finance & Investment, Yakin Polymers and Zahintex Industries.
Among those 22 companies, there are 7 companies in the textile sector, 1 in the cement sector, 1 in the energy and power sector, 5 in the financial sector, 1 in the IT sector, 3 in the engineering sector, 1 in the pharmaceutical and chemical sector, 1 in the paper sector, 1 in the food sector and 1 in the ceramic sector.
Among them, Delta Spinning, Kaya Cosmetics and Uttara Finance and Investments are reportedly being shifted to ‘Z’ category for failing to hold Annual General Meeting (AGM) within the stipulated time.
GBB Power, Khulna Printing and Packaging, Regent Textiles and Yakin Polymers are being relegated to ‘Z’ category for being closed for more than six months.
Alltex Industries, Aramit Cements, Aziz Pipes, FAS Finance & Investments, International Leasing & Financial Services, National Tea, Premier Leasing & Finance, Renwick Yajneshwar, Ring Shine Textiles, Safco Spinning, Standard Ceramics, Dhaka Dyeing, Union Capital and Zahintex Industries. Being downgraded to ‘Z’ category due to higher liability.
According to the BSEC and stock exchange sources, the instructions issued by the BSEC on February 15, after the declaration of the next dividend, have been said to transfer the berth companies to ‘Z’ category. However, the 22 companies in question have not paid dividends for the past few years. Apart from this, it has been decided to shift them to ‘Z’ category from Sunday (February 18) due to several reasons including non-holding of AGM in the last few years, continuous losses in business and shutdown of production and dwindling assets due to increasing liabilities.