Shareholders are in the dark about returns from their stock investment
Twenty companies have become non-compliant to listing regulations through their failure to hold an annual general meeting (AGM) and make a corporate declaration.
Fiscal 2019-20 has ended more than one year ago, but the companies are yet to come up with declarations of their financials and dividends for their shareholders.
As a result, the shareholders remain in the dark about returns from their investment in these companies.
Currently, 341 companies are listed on the capital market of the country.
“If shareholders do not get returns from investment, they will not come to the stock market. As a result, the market will get smaller,” Professor Shibli Rubayat-Ul-Islam, chairman of the Bangladesh Securities and Exchange Commission (BSEC), said at a programme recently.
“The commission is now working on it so that shareholders get returns.”
According to data available with the Dhaka Stock Exchange (DSE), the highest number of non-compliant securities are from the textile sector.
Fifty-eight textile companies are listed on the country’s stock exchanges and eight of them have failed to make any corporate declaration and hold their AGMs for FY20.
Of the other non-compliant companies,…