ICB approves 105pc dividend

FE Report

The board of directors of Investment Corporation of Bangladesh (ICB) has approved a stock dividend of 100 per cent and a cash dividend of 5.0 per cent per share for 2008-09.

The approval came at the 33rd annual general meeting (AGM) of the state-owned asset management company held in the city Saturday.

Prof M Khairul Hossain, chairman of ICB board of directors, presided over the AGM, according to a press release.

ICB Managing Director Md Humayun Kabir, its directors and a large number of shareholders attended the AGM and took part in deliberations.

The shareholders discussed various aspects of the annual report and audited accounts as well as the activities of ICB and its subsidiary companies for the fiscal 2008-09.

During the period, ICB had earned a net profit of Tk 1.1163 billion (Tk 111.63 crore), which was 10.32 per cent higher than that of the previous year and it was the highest since its inception.

It was the second consecutive year that ICB had declared a 100 per cent stock dividend. The corporation also declared a 22 per cent dividend for its unit fund.

ICB committed a net financial assistance of Tk 1.3765 billion to 15 projects in the form of pre-IPO placement, purchase of preference shares and debentures, equity participation and lease financing during the fiscal 2008-09 which was 304.40 per cent higher than that of the previous year.

It also committed to act as a trustee for bond issue of a company and debentures of two companies valued at Tk 3.50 billion; as trustee and custodian of nine mutual funds worth of Tk 10.75 billion and as arranger for debentures issues of two companies during the period under report.

ICB recovered an amount of Tk 6.7442 billion in respect of margin loans, project loans and other loans and advances which was 8.47 per cent higher than that of the previous year.

Under the investors account rehabilitation scheme, ICB rehabilitated 19019 investment accounts which suffered huge losses due to the abnormal stock market situation in fiscal 1996-97.

Securities worth Tk 54.25 billion traded in both the bourses on behalf of ICB, its subsidiaries and other different portfolios, resulting an increase of 26 per cent than the previous year's transaction.

The shareholders expressed their satisfaction at the achievement and growth of business of the company and its subsidiaries.

They appreciated the role of ICB in maintaining depth, stability, reliability and liquidity of the stock market as well as in keeping a buoyant and effective capital market in the country.

The chairman and the managing director of ICB acknowledged with gratitude the co-operation and support extended by the valued shareholders.