Midland Bank to raise Tk 70 crore thru IPO

Staff Correspondent | Published at 09:19pm on February 22, 2021

Midland Bank Limited is going to raise Tk 70 crore through initial public offering under fixed price method.

The bank signed an issue management agreement with LankaBangla Investment Limited on Monday.

Under this agreement, LBIL will provide the issue management services for the IPO prospectus of MDBL.

The bank will float seven crore shares in the stock market.  

Midland Bank vice-president and head of public relations officer Rashadul Anwar Sanjay told New Age that the bank signed deal with LankaBangla Investment.

The bank made the approach to comply with a Bangladesh Bank directive, he said.

The Bangladesh Bank in 2013 gave license to nine banks, including Midland Bank, on condition that the banks would be listed on stock exchange within three years of commercial operation.

The nine banks were Meghna Bank, Midland Bank, Modhumoti Bank, NRB Bank, NRB Commercial Bank, NRB Global Bank, South Bangla Agriculture Bank and Commerce Bank, Farmers Bank— now Padma Bank— and Union Bank.

Among them, only two banks – NRBC and South Bangla Agriculture Bank – are on the process to be listed.

As per the audited financial statement, the net profit of the Midland Bank stood at Tk 55.74 crore in 2019 against Tk 65.03 crore in 2018.

The bank paid up capital was Tk 569.7 crore in 2019.

There are 60 scheduled banks in Bangladesh, where 30 banks are listed on the stock exchange holding 18 per cent of total market capitalisation.