BSEC to review Kattali Textile’s utilisation of IPO funds | The Business Standard
Skip to main content
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Friday
June 13, 2025

Sign In
Subscribe
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
FRIDAY, JUNE 13, 2025
BSEC to review Kattali Textile’s utilisation of IPO funds

Stocks

Salah Uddin Mahmud
10 September, 2022, 08:55 pm
Last modified: 10 September, 2022, 10:45 pm

Related News

  • Kattali Textile misappropriated Tk25.04cr IPO fund: BSEC
  • Kattali Textile declares low dividend as share price plummets
  • Non-compliance with auditor gets Kattali Textile directors fined again
  • BSEC forms body to review Kattali Textile business
  • Kattali Textile in a dire strait, seeks time for audit

BSEC to review Kattali Textile’s utilisation of IPO funds

Salah Uddin Mahmud
10 September, 2022, 08:55 pm
Last modified: 10 September, 2022, 10:45 pm
Infograph: TBS
Infograph: TBS

The Bangladesh Securities and Exchange Commission (BSEC) is going to appoint an auditor to review the initial public offering (IPO) fund utilisation of Kattali Textile Mills Ltd.

In July this year, the commission expressed its concern about the company's utilisation of IPO funds after observing that it did not use the money in the past few months.

Kattali Textile raised Tk34 crore through an IPO in 2018 to purchase capital machinery, repay bank loans, install an electric transformer, and bear IPO expenses. 

This year, even after the economy returned to normalcy, the company could only use Tk8 lakh of its IPO fund.

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

As of this June, it was able to use a total of Tk12.88 crore or 37.88% of its IPO fund since its stock market listing.

In June 2018, the BSEC approved the IPO application of the company despite a lot of objections from the Dhaka Stock Exchange.

Kattali Textile's IPO was highly controversial and there were complaints from some investors that the company depends only on rental income from its factory building in Chattogram, instead of using the facility for its own operations.

After that, the controversial company tried to mislead the securities regulator in this regard by filing false updates and submitting fake bank statements to back their false claims.

In the aftermath, the BSEC fined its managing director Tk1 crore and other directors, except for the independent and nominated directors, Tk50 lakh each.

The principal activities of the company are to produce and export different types of garment products.

The monthly production capacity of the company is 4,37,250 pieces of garment products.

Kattali Textile reported a 17% increase in profit during the first nine months of fiscal 2021-22.

But its profit fell 31% year-on-year in the third quarter – January to March – of the current fiscal.

According to the company's stock exchange filings, in the July-March period of FY22, its earnings per share (EPS) rose to Tk1.05 from Tk0.90 during the same period a year ago.

The company said its EPS increased because of a huge efficiency at cost of goods sold and operating expenditure.

In the January-March period, its EPS declined to Tk0.20, which was Tk0.29 in the corresponding period in FY21.

In FY21, the company recommended a 10% cash dividend for its shareholders.

As of 30 June this year, sponsors and directors jointly held 30.32% shares, while institutions held 33.46%, foreign investors 0.11%, and public investors 36.11% shares of the company.

The last trading price of each share of the company on the DSE was Tk23.7 on Thursday. 

Top News

Kattali Textile

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • BNP Acting Chairperson Tarique Rahman and Chief Adviser  Muhammad Yunus meet at Dorchester Hotel in London, UK on 13 June 2025. Photo: CA Press Wing
    National polls possible in 2nd week of February, agree Yunus, Tarique in 'historic' London meeting
  • Election Commission building at Agargaon in the capital. Photo: Rajib Dhar/TBS
    EC will hopefully announce national polls date soon: Khalilur
  • BNP Standing Committee member Amir Khosru Mahmud Chowdhury speaks at a joint press briefing after a high-level meeting of CA Prof Muhammad Yunus and BNP Acting Chairman Tarique Rahman in London on 13 June. Photo: CA's Press Wing
    BNP satisfied with Yunus-Tarique meeting outcome: Khasru

MOST VIEWED

  • Wreckage of a Boeing 787 Dreamliner showing part of its registration "VT-ANB" in Ahmedabad, India, June 12, 2025. REUTERS/Amit Dave
    Air India Dreamliner crashes into Ahmedabad college hostel, kills over 290
  • File Photo of Chief Adviser Muhammad Yunus: UNB
    Prof Yunus to receive Harmony Award from King Charles today
  • Bangladesh Bank Governor Ahsan H Mansur. TBS Sketch
    Bangladesh mulls settlements with tycoons over offshore wealth: BB governor tells FT
  • Railway seeks Tk2,000cr foreign loans to revive coach assembly, modernise workshops
    Railway seeks Tk2,000cr foreign loans to revive coach assembly, modernise workshops
  • UK Prime Minister Keir Starmer, Chief Adviser Muhammad Yunus
    Disclosure of unconfirmed Yunus-Starmer meeting shows ‘diplomatic imprudence’: Analysts
  • Brother sues Latifur's daughter, widow over alleged forgery to seize control of Transcom
    Brother sues Latifur's daughter, widow over alleged forgery to seize control of Transcom

Related News

  • Kattali Textile misappropriated Tk25.04cr IPO fund: BSEC
  • Kattali Textile declares low dividend as share price plummets
  • Non-compliance with auditor gets Kattali Textile directors fined again
  • BSEC forms body to review Kattali Textile business
  • Kattali Textile in a dire strait, seeks time for audit

Features

Photos: Collected

Kurtis that make a great office wear

1h | Mode
Among pet birds in the country, lovebirds are the most common, and they are also the most numerous in the haat. Photo: Junayet Rashel

Where feathers meet fortune: How a small pigeon stall became Dhaka’s premiere bird market

1d | Panorama
Illustration: Duniya Jahan/ TBS

Forget Katy Perry, here’s Bangladesh’s Ruthba Yasmin shooting for the moon

2d | Features
File photo of Eid holidaymakers returning to the capital from their country homes/Rajib Dhar

Dhaka: The city we never want to return to, but always do

4d | Features

More Videos from TBS

IRGC chief Major General Hossein Salami killed in Israeli strike

IRGC chief Major General Hossein Salami killed in Israeli strike

11m | TBS World
'Historic' meeting between Yunus and Tarique underway in London

'Historic' meeting between Yunus and Tarique underway in London

2h | TBS Today
Iran warns Israel of severe retaliation

Iran warns Israel of severe retaliation

3h | TBS World
Global oil prices soar

Global oil prices soar

4h | TBS World
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net