The securities regulator has shortened the lock-in period for Intraco Refueling Station’s convertible shares, set to be converted from Intraco Refueling Convertible Bonds. The Bangladesh Securities and Exchange Commission (BSEC) has reduced the lock-in period to two years, applicable to shares obtained through private placement, sponsors, and directors. Previously, the BSEC had approved the issuance of a Tk50 crore convertible bond by the company.
According to the BSEC, a key condition for the bond issuance is that converted shares held by general investors will be lock-in free. The funds raised from this initiative will be allocated for establishing five LPG auto gas stations, five mother-daughter CNG stations, three CNG filling stations, and 40% for working capital.
In December of the previous year, Intraco commenced the supply of natural gas in CNG form from Bhola to various industries in Dhaka and nearby regions. The initial supply is around 5 million cubic feet per day, primarily targeting factories in Gazipur and surrounding areas where piped-gas pressure is low. Industries will be charged Tk47.60 per unit of gas, higher than the current industrial gas rate of Tk30 per unit. Intraco is set to receive Tk30.50 per unit for retailing the gas. The contract stipulates an initial supply of 5mmcfd, gradually increasing to 25mmcfd.
As of November 30, 2023, the company’s share distribution includes sponsors and directors holding 30.06%, institutions holding 14.63%, foreign investors holding 0.04%, and the general public holding 55.27% of the shares. The closing share price on the Dhaka stock exchange was Tk41.10 on Sunday.
