BSEC to probe dividend disbursement anomalies of New Line Clothings
The committee will look for answers to why some investors did not get dividends, and submit its findings to the BSEC within 30 working days
The Bangladesh Securities and Exchange Commission (BSEC) is going to look into the anomalies in dividend disbursement for fiscal 2020-21 of New Line Clothings Ltd, a publicly listed apparel manufacturer.
The commission issued a letter to the company in this regard on Wednesday.
It has formed a three-member inquiry committee consisting of its Deputy Director Md Sirajul Islam, Assistant Director Mehedi Hasan Rony, and Dhaka Stock Exchange (DSE) Deputy Manager Gias Uddin.
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Sources said BSEC received complaints from some of New Line's shareholders who did not receive any dividends from the company in the last fiscal year.
The company says it has disbursed dividends - 12.25% in cash - to its shareholders in March this year.
A top official of the company, however, declined to comment in this regard.
The inquiry committee will look for answers to why some investors did not get dividends and will submit its findings to BSEC within 30 working days.
In November 2018, New Line Clothings went public and raised Tk30 crore through an initial public offering (IPO).
In the January to March quarter of FY22, the company's revenues stood at Tk58.15 crore, which was Tk58.92 crore for the same period in the previous fiscal.
During the period, its net profits stood at Tk4.04 crore, which was Tk3.11 crore in the same quarter of the previous year.
Its earnings per share stood at Tk0.52, net asset value per share Tk24.80, retained earnings Tk80.83 crore, and total liabilities were Tk154.78 crore as of 31 March 2022.
As of 30 April 2022, sponsors and directors jointly held 30.61%, institutions 17.87%, and the general public, 51.52% shares in the company.
The last DSE trading price for each share of the company was Tk46.80 on Thursday.
