Stocks
Bangladesh Monospool Witnesses a 36% Drop in Share Prices Amidst Amalgamation Issue
According to the directives of the Bangladesh Securities and Exchange Commission (BSEC), the controlling authority in Capital Market, Bangladesh, the company Bangladesh Monospool Paper Manufacturing Limited endeavors to raise its paid-up capital to a minimum of Tk300 crore. In compliance with this, the company has initiated the issuance of rights shares and has collaborated with supportive institutions for this purpose. Simultaneously, the minimum paid-up capital has been augmented to Tk300 crore. However, post this collaboration, the company’s share price has experienced a decline, decreasing by 36% from the date of becoming compliant on January 31st to February 19th. This information has been sourced from the Dhaka Stock Exchange (DSE).
According to sources, Bangladesh Monospool, an industrial establishment, obtained approval from the regulatory authority, the Bangladesh Securities and Exchange Commission (BSEC), for the merger with Pearl Paper and Board Mills Limited on January 31. Following the amalgamation, the share price of the company has been declining. On January 31, the share price was Tk237.50 paisa, and on February 19, it stood at Tk151.60 paisa. In just 14 days, the share price has decreased by Tk 85.90 paisa or 36.16%.
It is reported that during the 188th annual general meeting of BD Monospool on March 11 last year, the decision for the amalgamation with Pearl Paper and Board Mills Limited was approved. Following this decision, both companies applied for approval from BSEC and the High Court, with both institutions granting consent to the merger on January 31, as communicated to the Dhaka Stock Exchange.
According to DSE sources, Bangladesh Monospool engaged in trading activities in the spot market on February 14 and 15 for the amalgamation with Pearl Paper and Board Mills Limited. For this purpose, the company’s record was maintained on February 18. Subsequently, the share price of the company witnessed a decline of more than 31% within just one day after the record date. On February 18, the company’s share price was Tk220.90 paisa, while at the close of the market today, it stands at Tk151.60 paisa. In other words, within a single day, the share price has decreased by Tk69.30 paisa or 31.37%.
It’s noteworthy that Bangladesh Monospool Paper Manufacturing was listed on the Dhaka Stock Exchange in 1989. Due to a decline in business conditions, the company shifted from the main market to the OTC market. Approximately a decade later, around June 13, 2021, the company resumed trading in the main market. Following the issuance of 10% bonus shares by Monospool Paper, the paid-up capital stood at 10 crore 32 lakh 77 thousand 76 Taka. With BSEC’s approval to issue 2 crore 37 lakh 77 thousand 394 shares for amalgamation, the paid-up capital increased to 34 crore 10 lakh 50 thousand Taka. After the consolidation of shares between the two companies, the total share count for BD Monospool stands at 3 crore 41 lakh 5 thousand 101, of which 45% is held by investors and directors. Institutional investors hold 10.17%, and general investors own 44.83% of the total shares.
Dhaka Stock Market DSE, Bourse on the second working day of the week, 30th September, ended with a negative performance in Indices and a hike in Turnover from the previous working session. This information is known from DSE sources.
503 crore 90 lakh taka shares were traded on this day. 22 crore 58 lakh more tradings were done in DSE today compared to the previous workday, 29th September, Shares worth Tk 481 crores 31 lakh shares were traded last time, Sunday.
The benchmark DSEX lost 33.61 points or 5,624 The Shariah-based index DSES dropped 7.36 point or 1,263 and the blue-chip index DS30 decreased by 9.57 points or 2,053.
Of the issues traded, 72 advanced, 299 declined and 25 remained unchanged.
Shahjibazar Power Company Limited ranked top gainer on DSE, the share price increased by Tk 4.00 paisa or 9.76 percent. On this day, the share was last traded at Tk 45.00 paisa.
Dhaka Electric Supply Company Limited ranked top loser on the DSE, the share price dropped by Tk 1.80 paisa or 7.56 percent. On this day, the share was last traded at Tk 22.00 paisa.
DSE topped on trade is Pragati Life Insurance Limited 25 crore 35 lakh takas of company shares have been traded.
A total of 27 companies’ shares were traded in the Block on Dhaka Stock Exchange. A total of 1 crore 50 lakh 42 thousand 956 shares of the companies were traded. The financial value of which is 65 crore 60 lakh taka
One of the Listed companies, National Polymer Limited has recommended 10.50% Cash Dividend for the year ended June 30, 2024.
It has reported Consolidated EPS of Tk 2.27 paisa, and Consolidated NAV per share of Tk 30.63 for the year ended March 31, 2024.
The Annual General Meeting (AGM) of the company will be held on December 18, through the digital platform. The record date for this has been fixed at October 22.
The Company also discloses its financial reports for the second quarter, (April – June 24).
As per the company’s consolidated life revenue account for April to June 2024, the excess of total income over total expenses, including claims (surplus), stood at Tk 1,394.24 million. This marks a significant increase from the surplus of Tk 823.68 million during the same period in 2023.
For the first half of 2024, from January to June, the company reported a surplus of Tk 2,177.57 million, compared to Tk 1,290.39 million in the corresponding period of the previous year.
Additionally, the Life Insurance Fund balance as of June 30, 2024, reached Tk 55,188.62 million, showing a net increase of Tk 5,892.25 million from Tk 49,296.37 million on June 30, 2023.
One of the Listed companies, Beacon Pharmaceuticals PLC has recommended 20% Cash dividend and 10% Cash Dividend to Sponsor Shareholder and Directors for the year ended June 30, 2024.
It has reported EPS of Tk 2.26 paisa, and NAV per share of Tk. 26.37 for the year ended June 30, 2024.
The Annual General Meeting (AGM) of the company will be held on December 23, through the digital platform. The record date for this has been fixed at October 27.
