BSEC new rules for IPO

Business Desk :

The Bangladesh Securities and Exchange Commission (BSEC) has released a draft of the Public Offer of Equity Securities Rules, 2025, introducing a new step requiring stock exchange approval before companies can list shares.

The draft, published on Thursday on the BSEC website, invites public feedback for 15 days. Under the proposed rules, companies must get BSEC approval and apply to the stock exchange for main-board listing. Those using the book-building method must also complete a roadshow.

Once an application is submitted, the stock exchange will post it online and allow eligible investors seven days to give feedback. Comments will be shared with the issuer and issue manager, who must respond within seven days.

The exchange will verify financial statements and documents, either directly, through a review panel, or via an independent auditor, within 30 days.

Within 45 days, the exchange will send its listing recommendation to BSEC. For positive recommendations, the red-herring prospectus will be submitted, detailing valuation methods and calculations based on global standards.

The rules also require a summary of IPO valuations and input from at least 75 eligible investors across different institutional groups to determine the indicative price. The new draft aims to increase transparency in IPOs and ensure more thorough investor feedback before listings.