The Financial Express

BSEC allows Midland Bank to raise Tk 700m through IPO

| Updated: September 24, 2022 09:45:43

BSEC allows Midland Bank to raise Tk 700m through IPO

The stock market regulator has allowed Midland Bank to raise Tk 700 million from the capital market under the fixed price method.

The approval came on Wednesday at a meeting held at the office of the Bangladesh Securities and Exchange Commission (BSEC) presided over by its chairman Prof. Shibli Rubayat Ul Islam.

As per the regulatory approval, the fourth-generation bank will raise the capital under the fixed price method, issuing 70 million ordinary shares at an offer price of Tk 10 each.

The IPO fund will be utilised in investments to be made in government and listed securities along with catering for the cost of the public offering.

As per the financial statement for the year ended on December 31, 2021, the net asset value per share (without revaluation) and earnings per share (NAV) are Tk 13 and Tk 0.90 respectively.

The weighted average EPS of the last five years stood at Tk 1.07.

LankaBangla Investments is working as the issue manager of the Midland Bank IPO process.

The securities regulator has imposed a condition of holding 2.0 per cent post-IPO shares by each director along with holding 30 per cent shares jointly by the directors.

Another condition of appointing independent directors before the company’s listing in line with the corporate governance guidelines has also been imposed.

Currently, 33 banks are listed in the country’s capital market.

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