The securities regulator has allowed Alif Group of Companies to acquire C&A Textiles Limited subject to complying with seven conditions, including resuming production of the ailing company.
In a letter to both C&A Textiles and Alif Group on Thursday, the Bangladesh Securities and Exchange Commission (BSEC) gave its green signal in favour of the acquisition.
Mohammad Rezaul Karim, a BSEC spokesperson, has confirmed the information about the regulator's letter.
One of the conditions asks Alif Group to regularise the bank liabilities of the company to be acquired.
Besides, Alif Industries and Alif Manufacturing Company will have to regularise all pending AGMs and audited statements in compliance with the securities laws.
Production at C&A Textiles, presently a 'Z' category company, remains suspended for the last five years and the regulator restructured the company's board in March last to revamp the ailing company.
C&A Textiles was listed with the stock exchanges in 2015 and it failed to recommend any dividend after 2016.
The company's sponsor-directors hold 22.14 per cent shares, institutes 15.67 per cent and general public 62.19 per cent as on July 31, 2017.
