United Finance gets cenbank nod to launch Islamic window
Company’s shares rose 3.17% to close at Tk13 following the disclosure
United Finance PLC has received in-principle approval from Bangladesh Bank to open an Islamic finance window, allowing the company to offer Shariah-compliant financial services alongside its existing conventional operations.
The central bank granted the approval through a letter dated 8 March, according to a price-sensitive disclosure filed with the Dhaka Stock Exchange (DSE).
The approval is subject to several conditions, including amendments to relevant clauses in the company's memorandum and articles of association.
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Once the required changes are made and other regulatory conditions are met, the company will be able to conduct Shariah-compliant financing activities through the dedicated Islamic finance window.
Following the disclosure, United Finance shares rose 3.17% on the Dhaka bourse to close at Tk13, reflecting positive investor sentiment about the company's expansion into Islamic financial services.
The move comes as demand for Shariah-based financial products continues to grow in Bangladesh's financial sector. By introducing the Islamic finance, United Finance aims to diversify its product offerings and reach a wider customer base seeking Shariah-compliant financing options, the company said.
United Finance has reported modest financial performance in recent periods. For the July-September quarter of 2025, earnings per share (EPS) stood at Tk0.05, unchanged from the same period a year earlier.
For the January-September period of 2025, EPS rose slightly to Tk0.23 from Tk0.22 in the corresponding period of 2024. Net operating cash flow per share (NOCFPS) improved significantly to Tk0.81 during the nine-month period, compared with negative Tk1.43 in the same period a year earlier.
The company's net asset value per share stood at Tk17.07 as of 30 September 2025, slightly lower than Tk17.84 recorded at the end of December 2024.
In 2024, United Finance declared a 10% cash dividend for its shareholders. For the year ended 31 December 2024, the non-bank financial institution reported EPS of Tk1.12, NAV per share of Tk17.84 and NOCFPS of Tk4.27, compared with Tk0.76, Tk17.32 and Tk0.76 respectively in 2023.
