Loading...

Shares of non-listed cos, OTC allowed to be traded

| Updated: December 05, 2019 12:27:57


BSEC okays alternative trading board rules

The securities regulator has approved the rules for alternative trading board keeping the scope of transaction of all type of non-listed securities.

The Bangladesh Securities and Exchange Commission (BSEC) approved the rules at a meeting held on Tuesday at the BSEC office.

As per the rules titled 'Bangladesh Securities and Exchange Commission (Alternative Trading Board) Rules, 2019', all non-listed securities can be included in the board for trading purpose.

The non-listed securities which can be transacted are the shares of non-listed companies, any kind of bond, debenture, sukuk, open-ended mutual fund, and alternative investment fund.

All kinds of de-listed securities can also be included in the alternative trading board on condition for the purpose of trading.

The existing companies of the OTC (over-the-counter) market will also allowed in the alternative trading board on condition to conduct their share trading, according to the rules on alternative trading board.

The transactions of the said securities will be executed in the form of dematerialised only.

The rules will come into effect after publishing gazette notification.

Abdul Matin Patwary, the managing director (in-charge) of Dhaka Stock Exchange (DSE), said the alternative trading board will provide safety in case of transactions of the non-listed securities.

He said the shareholders of thousands of non-listed companies require a reliable platform like alternative trading board to conduct transactions of their shares.

"In some cases the shareholders of non-listed companies fail to receive money against their shares sold to others. Alternative trading board will provide them safety in such transactions," Mr. Patwary said.

[email protected]

Share if you like

Filter By Topic