SHARE SALES TO STRATEGIC PARTNER

DSE board to try to reconfirm Chinese consortium’s selection

Staff Correspondent | Published: 00:05, Feb 13,2018

 
 

The Dhaka Stock Exchange board at a meeting on February 18 will try to reconfirm the selection of Shanghai Stock Exchange-led consortium for selling 25 per cent of its stake, shrugging off the Bangladesh Securities and Exchange Commission’s pressure to select the second highest bidder, India’s NSE-led group, said a number of directors.
‘All member-shareholders and directors of the bourse are irritated by the illogical BSEC pressure to select the second highest bidder instead of the top bidder,’ a senior member of the bourse told New Age on Monday.
The BSEC on Sunday asked DSE chairman Abul Hasem and managing director KAM Majedur Rahman not to send to the BSEC a proposal seeking approval for its selection of the consortium of Shanghai Stock Exchange and Shenzen Stock Exchange although it became the top bidder.
The SSE-SZSE became the top bidder quoting Tk 22 a share for DSE’s 45.09 crore shares while the consortium of Strategic Investment Corporation Limited, a subsidiary company of India’s National Stock Exchange, Nasdaq of the USA and Frontier Bangladesh quoted Tk 15 a share.
A BSEC commissioner rebuked Majedur using ‘obscene languages’ for the decision of the DSE board taken on Saturday approving the SSE-SZSE consortium as its strategic partner.
BSEC officials said that there was government pressure to select the NSE-led consortium, but one of the BSEC commissioners was over enthusiastic in favour of the consortium.
‘So far, the position of the DSE is that if the BSEC gives a directive in writing to select the NSE-led consortium, the bourse will take its step. There is no legal ground as the BSEC is verbally putting pressure on the DSE to select the NSE-led consortium,’ said another DSE member.
A DSE director said that the board would try to reconfirm its selection of the SSE-SZSE consortium at the February 18 meeting. ‘We will have to look after the interest of our shareholders,’ he said.
On Sunday, the NSE chief executive officer visited Bangladesh and lobbied the government, DSE and BSEC for the NSE-led consortium.
Apart from the price offer, the free technical support offer worth $37 million made by the SSE-SZSE consortium attracted the DSE board to select it. 

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