BSEC backtracks on withdrawal of floor price of six companies
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The stock market regulator suspended the order of withdrawal of the floor price of three companies, including Beximco, which was supposed to lift the floor price from today (Sunday).
Before his resignation, Bangladesh Securities And Exchange Commission Chairman Professor Shibli Rubayat Ul Islam had issued a floor price withdrawal order to facilitate a total of six companies, including Salman F Rahman’s Beximco. Prof Shibli stepped down on Saturday night five days after the ouster of Sheikh Hasina’s government in the face of a civil uprising.
On Sunday morning, two stock exchanges were informed by the BSEC about the suspension of the order given by Shibli Rubaiyut-Ul Islam.
Prof Shibli faced a lot of criticism for the order, which was supposed to be imposed on Beximco, Khulna Power and Shahjibazar Power from today (Sunday). Islami Bank, BSRM and Meghna Petroleum were supposed to lift floor price from Wednesday.
The stock market regulator reset the floor price in July 2022 to halt the free-fall of the market indices amid global economic uncertainties. However, BSEC removed the floor price in January this year from all but these six companies.
The BSEC put in place such a regulatory measure for the first time in March 2020 to stop the free fall of stocks amid the onslaught of COVID-19. Later, it lifted the floor price in phases as the virus receded.