Stocks
BSEC issues new rules for margin lending
The Bangladesh Securities and Exchange Commission (BSEC) has announced further relaxation of margin loan regulations to provide a boost to the country’s stock market.
As per the latest guidelines, listed firms that have maintained an “A” category status for three consecutive years and have a paid-up capital of Tk30 crore will now be able to see their stocks marginable up to a price earnings (PE) ratio of 50.
The BSEC had earlier relaxed margin loan regulations on 18 April to help lift the depressed stock market. Typically, stocks are marginable as long as their PE ratio is below 40, they are not in the Z category, they did not debut in the last 30 working days, and they have not moved up from Z category in the last seven working days.
The initial relaxation of margin rules two weeks ago had been applied to stable stocks that had remained in the “A” category for three consecutive years and had a capital size of Tk50 crore. This decision had helped the depressed stock market experience nine consecutive winning sessions till the end of April. However, some selloffs were experienced in May amid profit booking pressure.
Companies categorized as “A” typically pay at least 10% dividends and are regular in operations while holding annual general meetings. To further support the market, the BSEC has reduced the paid-up capital threshold.
The Dhaka Stock Exchange’s broad-based index, DSEX, closed 0.03% lower at 6,269 on Wednesday, after losing the early hour’s momentum.
Dhaka Stock Exchange DSE, Bourse on the third working day of the week, November 28, ended with price Index & turnover drops. This information is known from DSE sources.
297 crore 20 lakh shares were traded on this day. 179 crore 14 lakh less trading was done in DSE today compared to the previous workday, 27 November, Shares worth Tk 369 crores 96 lakh shares were traded last time, Monday. From the DSE website, the lowest trade was done on 17 August, which was around 299 crore taka, which means after 70 working days the stock market hit its lowest today.
The benchmark DSEX lost 6.62 points or 6,202 The Shariah-based index DSES dropped 0.72 points or 1,346, and the blue-chip index DS30 decreased by 1.98 points or 2,099.
Of the issues traded, 17 advanced, 134 declined and 139 remained unchanged.
Ambee Pharmaceuticals PLC ranked top gainer on DSE, the share price increased by Tk 53.60 paisa or 6.83 percent. On this day, the share was last traded at Tk 838.40 paisa.
Bd. Thai Aluminium Limited ranked top loser on the DSE, the share price dropped by Tk 1.40 paisa or 7.73 percent. On this day, the share was last traded at Tk 16.70 paisa.
DSE topped on trade is Central Pharmaceuticals Limited 15 crore 96 lakh takas of shares of the company have been traded.
A total of 52 companies’ shares were traded in the Block on the Dhaka Stock Exchange, 60 lakh 14 thousand 277 shares of the companies were traded. The financial value of which is 29 crore 84 lakh taka.
One of the Listed companies, Ring Shine Textiles Limited has recommended no Dividend for the year ended June 30, 2023.
In terms of financial performance, The Company has further informed EPS loss of Tk. 2.53 for the year ended June 30, 2023. The Company has also reported NAV per share loss of Tk. 4.97 paisa.
The Annual General Meeting (AGM) of the company will be taking place on January 20, through the digital platform. The record date for this has been fixed at December 17.
One of the listed companies, Bd. Thai Aluminium Limited discloses its financial reports for the first quarter, (July-September 23).
The company’s diluted earnings per share (EPS) loss of Tk 0.19 paisa in Q1 of the current financial year (July-September 23). EPS loss of Tk 0.12 paisa during the same period last year. NAV per share was of Tk. 27.66 paisa as of September 30, 2023.
