BD Paints shares soar 460% in a month
BD Paints Limited, a local manufacturer of paints, reported a 460% jump in share price within a month of its debut on the SME platform of the stock exchanges.
The company says there is no undisclosed price sensitive information behind the recent unusual hike in share price.
It is yet to disclose final quarterly reports for fiscal year 2021-22.
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On 14 June this year, the company made its debut on the SME platforms of the bourses.
On Wednesday, its share price stood at Tk53.60, which was Tk56 on Tuesday.
According to its audited financial statements as of 30 June 2021, the company's net profits stood at Tk4.83 crore, which was Tk3.13 crore the previous year.
The paint manufacturer also saw an increase in revenue to Tk29.38 crore in the fiscal year, from Tk23.36 crore a year earlier.
Its earnings per share stood at Tk0.97 and net asset value per share was Tk15.94 at the end of fiscal 2020-21.
Earlier, the Bangladesh Securities and Exchange Commission (BSEC) allowed the company to raise Tk12 crore with a qualified investor offer (QIO).
BD Paints issued 1.2 crore ordinary shares at a face value of Tk10 each.
Of that amount, it will spend Tk1.7 crore on building construction, Tk5.5 crore on machinery installation, and Tk4.54 crore on working capital.
The paint manufacturer will not be able to issue bonus shares within three years of its debut on the SME platforms.
As of 30 June 2022, sponsors and directors jointly held 31.57% of shares, institutions 5.28%, and the general public 63.15% of company shares.
