Paramount Textile's IPO gets a go-ahead

Bangladesh Securities and Exchange Commission has approved Paramount Textile's application to raise Tk 84 crore from public.
The approval for the initial public offering came on Thursday's meeting of the stockmarket regulator, presided over by BSEC Chairman M Khairul Hossain.
Using the fixed-price method, Paramount Textile will float three crore ordinary shares of Tk 10 each at an offer price of Tk 28 after accounting for Tk 18 as premium. IDLC Investment would serve as the issue manager of the IPO.
The fully export-oriented woven fabric manufacturer will use the IPO proceedings to repay its term loans, according to a BSEC statement.
As of June 2012, earnings-per share of the company stood at Tk 3.47. Paramount would become the 31st textile company to be listed on the bourses.
In another move, the BSEC imposed Tk 2 lakh fine each on managing director and directors of Raspit Data Management and Telecommunication, as the company failed to submit its yearly financial report to June 2011 and half yearly report to December 2011, to the commission in due time.
The regulator also imposed Tk 1 lakh fine each on managing director and directors of Dhaka Fisheries for failing to submit half yearly financial report to December 2011 to the commission.
In another action, the BSEC fined Salta Capital, a stockbroker, Tk 5 lakh for violating securities rules.
At the meeting, the stockmarket watchdog also decided to cancel a regulatory requirement for stock exchange members who intend to participate in the annual election of the bourse.
A fresh notice will be issued to this effect soon, the BSEC statement said.
At present, a stock exchange member has to submit a letter of intent to participate in the bourse's election and get a 'no objection' certificate from the BSEC.