The securities regulator has allowed SS Steel Limited to acquire over a 30 per cent stake at Tk10 per share in Oimex Electrode Limited; both are listed companies on the capital market.
However, the Bangladesh Securities and Exchange Commission (BSEC) tagged some conditions on the acquisition approved at its commission meeting on Wednesday.
Oimex Electrode, a manufacturer of welding electrodes, galvanised iron wire, copper-coated welding wire, and iron nails.
SS Steel Limited is engaged in manufacturing reinforcement bars from small rolling mills. The company was incorporated in 2001.
The Dhaka-based company, SS Steel has acquired 99 per cent Saleh Steel Industries Limited in 2020 to capture the market.
Listed in the Dhaka Stock Exchange (DSE) in 2019, the steel company’s shares price stood at Tk 17.40 on the Dhaka bourse on Wednesday.
Oimex Electrode has yet to announce any cash dividend for its shareholders since getting listed in 2017. Oimex Electrode's paid-up capital is over Tk67 crore, while institutional investors hold 29.12 per cent, and general investors 40.87 per cent of the company's shares.
The listed company’s shares price stood at Tk 18.40 on the Dhaka bourse on Wednesday.
