Ten cos raise Tk 4.67b through IPOs in eight months this year

Ten companies raised an aggregate amount of Tk 4.67 billion through initial public offerings (IPOs) in the first eight months of this calendar year. Market operators said the fund raising through the IPOs is going to surge this year, after hitting a ten-year low in 2017, as some 21 companies already applied for raising Tk 13.07 billion through the IPOs. In 2017, six companies and a mutual fund raised only Tk 2.19 billion through IPOs, according to statistics from the Dhaka Stock Exchange (DSE). Of the firms, 11 companies submitted their applications to collect more than Tk 10.66 billion under the book building method. STS Holding sought to raise Tk 750 million, Shamsual Alamin Real Estate Tk 800 million, Esquire Knit Composite Tk 1.50 billion, Runner Automobiles Tk 1.0 billion, ADN Telecom Tk 570 million, Popular Pharmaceuticals Tk 700 million. Delta Hospital Tk 500 million, Index Agro Tk 500 million, Energypac Power Generation Tk 1.50 billion, Star Ceramics Tk 600 million and Baraka Patenga Power Tk 2.25 billion. Of the companies, BSEC allowed Esquire Knit Composite, Runner Automobile and ADN Telecom to explore IPO cut-off price – a requirement for going public under the book building method. And rest 10 companies would raise Tk 2.40 billion under the fixed price method. New Line Clothing applied for raising Tk 300 million, Silco Pharmaceuticals Tk 300 million, Electro Battery Company Tk 225 million, Mohammed Elias Brothers Tk 250 million and SS Steel Tk 250 million under the fixed price method. Express Insurance has also applied for raising Tk 267 million, Desh General Insurance Tk 160 million, Infinity Technology Tk 300 million, Crystal Insurance Tk 160 million and Genex Infosys Tk 200 million under the fixed price method.

Source: http://today.thefinancialexpress.com.bd/stock-corporate/ten-cos-raise-tk-467b-through-ipos-in-eight-months-this-year-1534350677

Banks can now open clearing accounts in yuan

The central bank yesterday allowed banks to open foreign currency clearing accounts in yuan in keeping with the soaring trade with China. China has been the largest source of import for Bangladesh since fiscal 2006-07. Imports from China account for $15 billion of the $16 billion annual trade between the two countries, according to a Reuters report in April. The yuan became the fifth currency of the IMF’s special drawing rights (SDR) basket, which determines currencies that countries can receive as part of IMF loans. The yuan became the fifth currency of the IMF’s special drawing rights (SDR) basket, which determines currencies that countries can receive as part of IMF loans. The other four currencies are the US dollar, the euro, the Japanese yen and the British pound. The BB has also taken into consideration the IMF’s recognition while allowing banks to open clearing accounts in the Chinese currency

Source: https://www.thedailystar.net/news/business/banking/banks-can-now-open-clearing-accounts-yuan-1620853

Dollar hits 13-month high

The dollar rose on Wednesday to its highest levels in over a year as a crisis in the Turkish lira that has spread to emerging markets fed demand for the greenback as a safe-haven asset. Signs the US economy remains robust ahead of an expected interest rate hike by the Federal Reserve next month have seen the dollar dominate other currencies in recent weeks. Against a basket of major currencies on Wednesday, the dollar rose to 96.862, its highest level since late June 2017. The lira recovered some ground to trade briefly at 5.7503 to the US dollar, firming from a close of 6.3577 a day earlier. The rebound to below 6.0 against the dollar was driven by a banking watchdog step to limit swap transactions and by hopes of improved EU relations. The single currency drifted down toward $1.13 for the first time since July 2017 and sterling dipped below $1.27 for the first time since June last year. The euro is under pressure because of the impact of the Turkish lira collapse on euro zone banks with exposure to Turkey and due to concerns about a fiscal spending spree by the Italian government which is involved in a standoff with Brussels.

Source: http://today.thefinancialexpress.com.bd/trade-market/dollar-hits-13-month-high-1534355221

EBL looks to expand regional footprint

Eastern Bank Limited (EBL) has decided to open a full-fledged branch in Kolkata as a strategy to spread its wings to neighbouring India, before establishing regional footprint. For strategic reasons, the bank has decided initially to open a branch in Kolkata and subsequently expand to other cities. In 2017, its net asset growth was 94 per cent and the growth in profit after tax was 64 per cent. India is Bangladesh’s key trading partner and the bilateral trade between the two countries is worth more than US$ 7.5 billion EBL is also the most awarded bank in the country. The Asian Banker International Excellence in Retail Financial Services award adjudged EBL as the Best in Retail Bank in Bangladesh for the last six consecutive years since 2013. The International Finance magazine in 2018 awarded EBL for the Best Credit Card Offering in Bangladesh. EBL has also been awarded at the prestigious Asian Banker Business Achievement Awards 2018 held in Beijing on May 24.

Source: http://today.thefinancialexpress.com.bd/stock-corporate/ebl-looks-to-expand-regional-footprint-1534350570