Individual investors who have an investment of Tk1 crore or more in listed securities can be qualified investors as these are not public offerings
To create long-term financing opportunities for the small and medium enterprises (SMEs) the Bangladesh Securities and Exchange Commission (BSEC) has decided to approve the issuance of shares of two SMEs.
The approval was given at the 784th commission meeting on Wednesday, presided over by its chairman, Professor Shibli Rubayat Ul Islam.
The securities regulator approved the issuance of 10 million ordinary shares each of both Oryza Agro Industries Limited and Master Feed Agrotec Limited.
The price per share of both SMEs has been fixed at Tk10.
By raising Tk10 crore of funds through this Qualified Investor Offer (QIO), Oryza Agro Industries Limited will pay off loans and raise working capital and operating costs.
According to the financial statements of Oryza Agro for the period ended December 30, 2020, the earnings per share is Tk1.02 and the net asset value (NAV) per share without revaluation reserve is Tk18.09.
Imperial Capital Limited and City Bank Capital Resources Limited are in charge of issue management of the company.
By raising Tk10 crore of funds through the QIO, Master Feed Agrotec Limited will address working capital and operating costs.
According to the company's financial statements for the period ended 31 December 2020, its earnings per share is Tk0.68 and the NAV per share without revaluation reserve is Tk14.08.
In this case, NBL Capital and Equity Management Limited and Asian Tiger Capital Partners Investments Limited will be responsible for issue management of the company.
However, the issuing companies will not be able to issue any bonus shares for the next three years from the date of transaction.
Additionally, it was decided that all individual investors (resident and non-resident) who have an investment of Tk1 crore or more can be qualified investors as these are not public offerings.