BSEC okays National Feed Mill IPO

August 27, 2014

Approves Tk 300cr SIBL Mudaraba bond
The Bangladesh Securities and Exchange Commission on Tuesday approved a Tk 18-crore initial public offering of National Feed Mill Limited. The capital market regulator took the decision at a commission meeting presided over by its chairman M Khairual Hossain, a BSEC news release said. As per the BSEC approval, National Feed Mill will float 1.80 crore shares at an issue price of Tk 10 each through the IPO process.
The company will use the IPO fund to expand its business, repay bank loan, meet working capital requirement and IPO expenses, BSEC release said.
According to the audited financial statement of the company for the year ended on June 30. 2013, the net asset value per share of the company stood at Tk 14.55 with an earning per share of Tk 1.85.
ICB Capital Management Limited and PLFS Investments are the issue managers of the National Feed Mill’s IPO.
The BSEC on the day also allowed Social Islami Bank to issue Mudaraba Subordinated Bond worth Tk 300 crore with a maturity period of six years, the BSEC release said.
Banks, insurance companies, financial institutions, corporate houses and individual investors will be eligible to purchase units of the bonds, it said.
Face value of a unit of Mudaraba Subordinated Bond was set at Tk 5 lakh.
Individual investors will be allowed to purchase one unit, while the minimum purchase limit for the institutional investors would be 20 units of the bond, the BSEC release said.
As per the offer document of Mudaraba Subordinated Bond, Social Islami Bank will use the fund to meet its capital requirement under the Tier-2 requirement of the Bangladesh Bank.

-With New Age input

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