Economic Reporter :
The South Bangla Agriculture and Commerce Bank Limited got the nod to offload 10 crore ordinary shares to the public to raise Tk 100 crore from the public.
Bangladesh Securities and Exchange Commission (BSEC) gave the approval in a meeting Sunday presided over by its chairman Shibli Rubaiyat-Ul Islam.
The BSEC put a bar on declaring or distributing dividend for the shareholder before the company got listed with the Dhaka and Chittagong Stock Exchanges.
As per the approval, through Initial public offering (IPO) the bank will float 10 crore ordinary shares of Tk 10 each to collect Tk 100 crore.
The IPO proceeds will be used to buy government securities and bear the expenses of the public offering.
As per the latest financial statement of the company, net assets value without revaluation stood at Tk 13.18 per share, while the earning per share (EPS) was Tk 0.94 and the weighted average EPS in the last five years stood at Tk 1.24.
ICB Capital Management Limited will act as the issue manager for the IPO process.
In 2013, South Bangla Agriculture and Commerce Bank Limited got the license from the Bangladesh Bank as a commercial bank. The bank has currently 82 branches and six sub-branches operating across the country.
Currently, there are 61 scheduled banks in the country, of which 31 are listed in the Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE).
