DSE to drop IBBL from DS30 index

FE Report | Published: July 13, 2018 11:11:37 | Updated: July 15, 2018 10:37:40


Islami Bank Bangladesh Limited (IBBL) will be dropped from the blue chip index DS30 for the company's failure to comply with the membership retaining requirements.

The Dhaka Stock Exchange (DSE) rebalances its DS30 index as per criteria set by S&P Dow Jones Indices.

According to DS30 criteria, eligible stocks must have a float-adjusted market capitalisation worth above Tk 500 million as of the rebalancing reference date.

And the eligible stocks also must have a minimum three-month average daily traded value worth 5.0 million as of rebalancing reference date.

Stocks must be profitable as measured by positive net income over the last 12-month period, as of the rebalancing reference date.

Asked, a DSE official said companies can be included or excluded from DS30 list due to any reason as mentioned in the criteria.

"The specific reason for which a company is excluded from the DS30 list cannot be disclosed," he added.

According to a DSE release, Meghna Petroleum will also be excluded from the blue chip index DS30.

On fulfilment of criteria, two other companies will be included in the DS30 index. The companies are Al-Arafah Islami Bank and United Power Generation & Distribution Company.

The effective date of semi-annual rebalancing of DSE 30 index would be from July 22, 2018.

The premier bourse DSE has found no listed company to include in the broad index DSEX as they did not meet the criteria of quarterly IPO addition.

The listed companies are included in the DSEX in accordance with the DSE Bangladesh Index Methodology designed by S&P Dow Jones Indices and thorough supervision by Index Committee of the DSE.

Presently, the DSEX has a list comprising 283 securities on the premier bourse.

mufazzal.fe@gmail.com

Share if you like