Share trading of Zeal Bangla Sugar Mills resumes today (Sunday), after remaining suspended for the seven weeks due to abnormal price hike of its share price.
The Bangladesh Securities and Exchange Commission (BSEC) has recently decided to allow the company to resume the trading from Sunday.
The stock market regulator has also decided to freeze two individual beneficiary owners’ (BO) accounts of the investors who are holding around 10 per cent share of the company’s paid-up capital.
Trading of the shares of the company will be resumed from today following the company’s corporate declaration, said an official disclosure on Sunday.
However, the board of directors of the company has recommended no dividend for the year ended on June 30, 202.
There will be no price limit on the trading of the shares of the company on today for following its corporate declaration on October 27, 2020. However, as per the BSEC order dated March 19, 2020, the floor price shall be applicable accordingly.
Earlier on September 14, the stock market regulator had suspended share trading of the company after the stock market watchdog detected anomalies in the trading of the companies’ shares.
Share prices of fundamentally weak and low-cap company Zeal Bangla rose significantly although the company declared no dividend for the last 10 years.
On 31 August 2020, the commission directed the DSE to inquire into the unusual price hike of Zeal Bangla’s shares.
The state-run sugar mill's share price was Tk 31.60 on July 2, 2020, but the share price jumped to Tk 213 on 14 September, meaning the company’s share price soared around seven fold within two months.
