Trading of the shares of Mamun Agro Products Ltd will commence today (Tuesday) under SME Platforms of the Dhaka Stock Exchange and Chittagong Stock Exchange.
DSE trading code for Mamun Agro Products is "MAMUNAGRO" and DSE company code is 68001 while the CSE scrip ID is 32604 and the scrip code is "MAMUNAGRO".
Mamun Agro Products is the 10th listed firm on the DSE SME Platform while it will be the ninth listed SME company on the CSE SME Platform.
The stock market regulator -- Bangladesh Securities and Exchange Commission (BSEC)--on October 28, last year approved the company's proposal for raising capital through QIO.
Mamun Agro raised Tk 100 million by issuing 10 million ordinary shares of Tk 10 each through qualified investor offer (QIO) under the fixed price method.
The agro products manufacturer's shares subscription through an electronic subscription system (ESS) was held between January 23 and January 27.
The company raised the fund through the exchanges' SME platform earlier introduced to ensure long-term financing for the small-capital companies.
Only the qualified investors are allowed to trade on the SME platforms of the bourses.
The company will not be allowed to issue bonus shares in three years from the date of debut trading on the SME platform, as per the BSEC approval.
The company will utilise the proceeds for construction of building and civil work, working capital and issue-management costs.
BMSL Investment Ltd and Uttara Finance Capital Management Ltd are acting as issue managers for the company.
Mamun Agro has reported net profit after tax of Tk 52.38 million and basic earnings per share (EPS) of Tk 1.31 for the year ended on June 30, 2021, as against net profit after tax of Tk 51.60 million and basic EPS of Tk 1.66 for the previous year.
However, post-QIO basic EPS for the year ended on 30 June 2021 is Tk 1.05. Pre-QIO net asset value (NAV) per share is Tk 15.58 and post-QIO NAV per share is Tk 12.47 as on 30 June 2021.
Incorporated in 2003, the principal activities of the Mamun Agro Products are manufacturing and supplying agro products, including insecticide, pesticide and certified seeds.
Share trading on the DSE SME Platform started on September 30, 2021, creating an opportunity for small and medium enterprises (SMEs) to raise capital from the stock market.
However, the SME platform at the bourses has so far been unable to attract investors in terms of share trading of its listed firms.
Currently, five firms on the DSE SME platforms, out of nine, are trading their shares below face value.
With a view to making the SME board attractive, the DSE also declared promotional offer to interested individuals/corporate entities with no registration fee to become qualified investors (QIs) which is valid till March 31, 2022.
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