Press Release
Chittagong June 8, 2006: Share trading of Dhaka Electric Supply Company (DESCO) will make its debut on the Chittagong Stock Exchange (CSE) on June 18. Earlier, the government decided to offload 25 per cent stakes of the company in the capital market.
The DESCO will publish its Information Document in the daily newspapers within a very short time. The company will join the capital market by releasing around 3.2 million shares worth Tk 317.80 million. The face value of each share of DESCO is at Tk 100 and the market lot of the company’s shares is 50.
As per Direct Listing Regulations, the company is required to offload at least 10% of existing shares within 30 working days from the date of listing. However the company has intended to offload 25% i.e 3,177,985 shares from its existing shares to the public. Out of this proposed offloading, 10% shares i.e 317,798 shares will be distributed to the directors and employees of DESCO as per Government decision. DESCO is the second company to be listed with the CSE under direct listing regulations.
The initiative of offloading the shares of DESCO is a part of the government's broader goal of development of the capital market. Credit Rating Information and Services Ltd (CRISL), a credit rating company, has rated the DESCO as “A+” in long term and “ST-2” in short term. The company’s shares will be traded in CSE under settlement category “A” and in dematerialised form.
As on 30th June, 2005 the net asset value (NAV) per share of DESCO stood Tk. 149.33 while earning per share (EPS) in the financial year of 2004-5 was Tk. 42.51 as against Tk. 26.59 in 2003-4. During the last financial year 2004-5, the net profit after tax of DESCO was Tk. 540 million while operating profit was Tk. 883 million against its operating revenue of Tk. 5,476 million.
The Investment Corporation of Bangladesh (ICB) on behalf of DESCO will offload shares.
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AKM Shahroze Alam
Deputy Manager
Corporate Development
Cell : 01713 109910