বুধবার, ৩০ সেপ্টেম্বর ২০২৬, ০৫:৫৩ অপরাহ্ন
DHAKA, Sept 30, 2026 (BSS) – Bringing quality and promising companies to the capital market through initial public offerings (IPOs) in a fast, transparent and cost-effective manner can inject fresh dynamism into the country’s stock market, said former senior vice-president of Dhaka Stock Exchange (DSE) and former president of DSE Brokers Association (DBA) Ahmed Rashid Lali.
He also suggested simplifying the IPO process and reducing the time and costs involved to create more opportunities for companies and investors in the capital market.
Talking to BSS, Lali, managing director of Rashid Investment Services Limited, said the lengthy IPO process often discourages entrepreneurs from seeking capital-market financing as they tend to rely on bank loans and other alternative sources of funds.
He proposed completing the entire IPO approval and listing process within 45 to 60 days.
“At present, 60 days are allocated only for the DSE’s scrutiny of documents. This timeframe can be reduced to a maximum of 15 days,” he said.
Lali said a faster and transparent process would encourage large local business groups and multinational companies to enter the capital market.
He proposed establishing a separate ‘marketing department’ to identify promising companies and encourage them to get listed.
The department could approach major local business groups, including PHP Group, Akij Group and Partex Group, as well as multinational companies, and explain the benefits of listing on the capital market, he said.
To expedite the IPO process, Lali also proposed forming a three-member committee from a panel of five chartered accountants (CAs) to scrutinise company prospectuses.
“If there is any deficiency or problem in the documents, the committee can discuss the issue with the concerned company, resolve it quickly and submit its report to the DSE board within 15 days,” he said.
After receiving the documents from the DSE board, the Bangladesh Securities and Exchange Commission (BSEC) could complete its review within 10 days and announce the subscription date, according to his proposed process.
Subsequently, the Central Depository Bangladesh Limited (CDBL) could complete the lottery and refund process within five days.
“Following this process, the entire listing procedure can be completed within 45 to 60 days,” Lali said.
He also suggested reducing the cost of asset revaluation to encourage quality companies to enter the capital market.
A company seeking listing has to incur substantial costs for preparing financial statements for several years and completing various regulatory procedures, while stamp duty, VAT and taxes associated with asset revaluation add to the financial burden, he said.
“These additional costs discourage many promising companies from entering the capital market,” Lali said.
He explained that in the case of old industrial enterprises, land purchased many years ago may have a very low book value, while it needs to be revalued at the prevailing market price before listing.
As a result, entrepreneurs may face significant financial pressure even before a company is listed, while there is no certainty that the company will be able to raise the desired amount from the capital market after listing, he added.
Lali therefore suggested considering a waiver of stamp duty and other related costs on asset revaluation undertaken for the purpose of capital-market listing.
He expressed hope that a faster, transparent and cost-effective IPO process would encourage more companies to participate in the capital market and create new investment opportunities.
