Demutualisation
DSE holds EGM today to approve interim board
The Dhaka Stock Exchange will hold today an extraordinary general meeting to approve a 24-member ‘interim board’ of the bourse which will oversee the demutualisation process until the bourse’s next annual general meeting is held. The EGM will be held as per the Demutualisation Act-2013 enacted on April 29 this year to separate the bourses’ management from their ownership to bring more transparency in the bourses’ function.
The DSE management on October 6 issued a circular to its members in this regard after the Bangladesh Securities and Exchange Commission approved the demutualisation scheme on September 26.
In the EGM, the bourse will adopt new memorandum of association and articles of association in line with the demutualisation scheme, replacing the existing ones.
The new memorandum of association will disallow any shareholder of the bourse to enter into the DSE office without getting permission from the proper authority, the DSE circular said.
The demutualisation scheme of the bourse will be placed before the EGM for approval.
Proposal for increasing the authorised capital of the bourse to Tk 2,500 crore divided into 250 crore shares of Tk 10 each will be placed before the meeting for the approval of the DSE members who will be turn into shareholders after the scheme approval.
As per the demutualisation act, the bourse has to apply to the Registrar of Joint Stock Companies and firms for re-registration as a public limited company within seven days of holding the EGM.
-With New Age input