Dhaka Stock Exchange members on Saturday approved the demutualisation scheme of the bourse and a 24-member interim board, with all existing board directors, which will oversee the demutualisation process till formation of the final board in 90 days.
The approval came in an extraordionary general meeting of the bourse held at Sonargaon Hotel in the city.
As per the Demutualisation Act 2013, the interim board of the bourse has to arrange an election and annual general meeting of the bourse within the next 90 days to form the first demutualised board.
The DSE has to form the next board, which will be the first board of demutualised stock exchange, comprising 13 directors as per the demutualisation scheme approved by the Bangladesh Securities and Exchange Commission.
In the existing 24-member board, 12 are member-brokers and 12 are independent directors whereas in the 13-member board of demutualised exchange, there will be four posts for member-brokers, seven independent directors, one for strategic partner and chief executive officer of the bourse.
The BSEC on September 26 had approved the demutualisation scheme according the Demutualisation Act enacted on April 29.
DSE presided Ahasanul Islam presided over the EGM while DSE senior vice-president Mohammad Shahjahan, vice-president Mizanur Rahman Khan and chief executive officer Kwapan Kumar Bala were present, among others.
The EGM of the bourse was earlier stopped by a court order following a writ petition filed by its member Ahmed Iqbal Hasan. But, Hasan on Wednesday withdrew the writ petition on personal grounds.
The EGM of the bourse adopted its new memorandum of association and articles of association in line with the demutualisation scheme which will replace 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 meeting of the bourse approved the agenda to increase its authorised capital to Tk 2,500 crore divided into 250 crore shares of Tk 10 each.
Following the approval the DSE members will be turned into shareholders.
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 the next seven days.
-With New Age input
