Textile maker Tung Hai gets approval for IPO

Bangladesh Securities and Exchange Commission yesterday gave a green light to Tung Hai Knitting and Dyeing to raise Tk 35 crore from the public.
The textile company will float 3.5 crore ordinary shares worth Tk 10 each to raise the fund to meet working capital needs, purchase machinery and pay the bank term loans.
AFC Capital and Imperial Capital will manage the initial public offering, the commission said in a statement.
The company's earnings per share stood at Tk 1.15 and net asset value per share at Tk 13.73 on December 2012.
At present, 32 textile companies are listed on the Dhaka Stock Exchange, accounting for about 5 percent of the total market capitalisation.
Tung Hai Knitting and Dyeing is a subsidiary of Tung Hai Group, a leading manufacturer and exporter of knitted sweaters and jerseys, according to the group's website. The group's annual turnover is over $50 million.
The regulator also approved a Tk 50 crore open-end mutual fund, ICB AMCL Converted First Unit Fund.
ICB Asset Management Company is the manager of the first of its kind fund will be converted from a closed-end mutual fund to an open-end unit fund.
The price of each unit of the fund is Tk 10, which will be kept for unit holders of ICB AMCL 1st Mutual Fund and sponsors of the fund.
The conversion will have to be completed by February 20.

The regulator rejected proposals to convert loans into ordinary shares by two listed firms—Paper Processing and Packaging and Monospool Paper Manufacturing Company.
Both companies failed to submit necessary documents for the conversion.
In another move, the regulator allowed Asian Tiger Capital Partners Asset Management to submit a complete prospectus of Sandhani Life Growth Fund in three months.
Earlier, the commission decided to cancel registration of the closed-end mutual fund.
BSEC also decided in principle to allow re-demption of Padma Islami Life 1st Mutual Fund.