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 last working day of the week, April 25th, ended with a massive drop in Indices and Turnover from the previous working session. This information is known from DSE sources.
511 crore 43 lakh taka shares were traded on this day. 91 crore 31 lakh less tradings were done in DSE today compared to the previous workday, 23rd April , Shares worth Tk 602 crores 74 lakh shares were traded last time, Wednesday.
The benchmark DSEX lost 60.48 points or 5,518 The Shariah-based index DSES dropped 12.29 points or 1,217, and the blue-chip index DS30 decreased by 10.17 points or 1,974.
Of the issues traded, 69 advanced, 300 declined and 27 remained unchanged.
ADN Telecom Limited ranked top gainer on DSE, the share price increased by Tk 9.60 paisa or 8.66 percent. On this day, the share was last traded at Tk 120.50 paisa.
Bata Shoe Company Bangladesh Limited ranked top loser on the DSE, the share price dropped by Tk 36.9 paisa or 3.77 percent. On this day, the share was last traded at Tk 941.00 paisa.
DSE topped on trade is Orion Infusion Limited 31 crore 69 lakh takas of company shares have been traded.
A total of 35 companies’ shares were traded in the Block on Dhaka Stock Exchange. A total of 26 lakh 36 thousand 734 shares of the companies were traded. The financial value of which is 16 crore 61 lakh taka
One of the Listed companies, Bangladesh National Insurance Company Limited has recommended 20% Cash Dividend for the year ended December 31, 2023.
In terms of financial performance, The Company has also reported EPS of Tk. 4.04 for the year ended December 31, 2023. The Company has also reported NAV per share of Tk 26.28 paisa for the year ended December 31, 2023.
The Annual General Meeting (AGM) of the company will be held on June 25, through the digital platform. The record date for this has been fixed at May 27.
One of the Listed companies, Bata Shoe Limited has recommended 105% Final Cash Dividend (Total 435% Cash Dividend for the year ended December 31, 2023 inclusive of 330% Interim Cash Dividend, which has already been paid) for the year ended December 31, 2023
In terms of financial performance, The Company has also reported EPS of Tk. 29.31 for the year ended December 31, 2023. The Company has also reported NAV per share of Tk 237.93 paisa for the year ended December 31, 2023.
The Annual General Meeting (AGM) of the company will be held on July 16, through the digital platform. The record date for this has been fixed at May 16.
