Bay Leasing approves establishing asset management subsidiary

Bay Leasing and Investment Limited, a publicly listed non-bank financial institution, has approved the establishment of an asset management entity titled "BLI Asset Management Ltd".

On Thursday, the non-bank lender said on the website of the Dhaka Stock Exchange (DSE) that the new entity will work as a subsidiary of the parent company.

BLI Asset Management Ltd got registered with Bangladesh Securities and Exchange (BSEC) in March this year.

Including the new one, there are 49 asset management companies in the country, according to the securities regulator.

Asset management firms take investors' capital and put it to work in different investments.

The firms are authorised to act as an issue and portfolio manager of the mutual funds which are issued under the BSEC (Mutual Fund) Rules 2001.

Bay Leasing and Investment was incorporated in 1996 as a non-banking financial institution.

Since its inception, the company has been operating its merchant bank wing and in 2020, it received a licence of a brokerage house.

The company got listed on local stock exchanges in 2009.

According to the DSE, although the 2020 financial year has ended, Bay Leasing and Investment did not publish its financials and dividend information for its shareholders.

In the first nine months of 2020, the company reported a profit of Tk14.30 crore.

One year ago, in 2019, it posted a profit of Tk15.03 crore and paid a 10% dividend – 7.5% cash and 2.5% stock.