SEC approves 2 rights shares

Source: BDNEWS24.COM
Thu, Oct 7th, 2010 6:56 pm BdST Dhaka, Oct 7 (bdnews24.com) — The Securities and Exchange Commission has approved issuance of rights shares of First Security Islami Bank and Fu Wang Ceramic.

"SEC has also approved another public offering for convertible bonds of BRAC Bank," SEC executive director Anwarul Kabir Bhuiyan told bdnews24.com after a meeting of the commission on Thursday.

First Security Islami Bank got approval to issue one rights share against five existing shares.

The bank is planning to collect Tk 50.60 crore by issuing these shares with a face value of Tk 10.

First Security Islami Bank will use the money to increase it's paid up capital.

Fu Wang Ceramic would issue one rights share for two existing shares with a face value of Tk 100 and a premium of Tk 25.

The company plans to raise Tk 206,050,000 by issuing rights shares.

BRAC Bank plans to collect Tk 300 crore by issuing convertible bonds through repeat public offering.

Convertible bonds change to normal shares after a certain period and can be traded in the bourses.

Price for the bond is set at Tk 1,000 each.

The bank would raise Tk 270 crore through private placement and Tk 30 crore by repeat public offering (RPO).

A private placement is the selling of unregistered securities, either stocks or bonds, to qualified institutional investors—investment companies, pension funds, and insurance companies.