The Bangladesh Securities and Exchange Commission (BSEC), the capital market regulatory body, has imposed floor prices on shares several times in the last four years without being able to stop the continuous fall in the stock market.
Among them, BSEC lifted the floor price of 3 companies on February 6 and 23 companies on January 22. Before that, on January 18, the floor price was lifted from the shares of 35 companies and other companies except mutual funds.
After that, the floor price of two multinational companies Grameenphone and British American Tobacco Bangladesh Company-BATBC listed in the capital market was withdrawn from Sunday (March 03). BEXIMCO, BSRM, Islami Bank, KPCL, Meghna Petroleum and Robi remained the companies that did not withdraw the floor price.
On February 6, the regulatory body Bangladesh Securities and Exchange Commission (BSEC) said in a directive that the shares of Robi Axiata, Grameenphone and BATBC will be traded without a floor after the record date. Following the directive, Ravi Axiata’s shares have been trading without a floor since February 18.
According to the information published on the website of Dhaka and Chittagong Stock Exchange (DSE-CSE) on Monday (March 4), the floor price (minimum limit) imposed on the shares of British American Tobacco Bangladesh Company (BATBC) Limited, a multinational company listed in the food and ancillary sector in the capital market, has been raised. On the other hand, as per the instructions of the capital market regulatory body Bangladesh Securities and Exchange Commission (BSEC), the shares of the company traded according to the maximum and minimum limits of the circuit breaker from Monday (March 4). On this day, the share price of BATBC decreased by 38 taka 90 paisa to 479 taka 80 paisa.
As a result, after the record date, only Ravi Axiata’s shares remained waiting for the floor price to be withdrawn.
Before this, it was announced on the website of DSE and CSE on February 29 that the floor price imposed on the shares of Grameenphone Limited would be lifted. And since Sunday (March 3), the company’s shares have started trading according to the maximum and minimum limits of the circuit breaker.
Like Grameenphone, the floor price of BATBC shares will be withdrawn after the record date, BSEC said in a directive on February 6. According to that directive, Thursday (February 28) was the company’s record date. As such, the floor price of the company’s shares will not be maintained from Monday (March 4). As a result, shares of BATBC, like other common companies, traded at the highest and lowest limits of the circuit breaker.
On the other hand, according to the financial report, the profit increased by 74.29 percent in the financial year ending December 31, 2023. During the financial year in question, the company declared 10 percent cash dividend to the investors. Robi Axiata’s consolidated earnings per share (EPS) during the period stood at 61 paisa, as against 35 paisa in the previous financial year. Accordingly, the company’s EPS increased by 74.29 percent. At the end of December 31, the company’s consolidated net asset value per share (NAVPS) stood at 12 taka 76 paisa.
In 2020, the authorized capital of Robi Axiata listed in the capital market was 6 thousand crores and the paid up capital was 5 thousand 237 crores 93 lakhs. There is 1 thousand 460 crore 79 lakh taka in reserve. Total number of shares is 523 crore 79 lakh 32 thousand 895. 90 percent of this is in the hands of entrepreneurial managers. Apart from this, 1.70 percent to institutional investors and remaining 8.30 percent shares are in the hands of common investors.
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