DSE downgrades shares of three companies to Z category

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DSE downgrades shares of three companies to Z category

Dhaka Stock Exchange (DSE) today, February 4, 2025, changed the category of three companies to ‘Z’ category. These companies are – Beacon Pharma, Rahima Food, and Bangladesh Building Systems PLC (BBS). The main reason for this category change is that the companies did not distribute the approved dividends within the stipulated time.

– Beacon Pharma and Rahima Food have been transferred from ‘A’ category to ‘Z’ category.

– BBS has been transferred from ‘B’ category to ‘Z’ category.

According to the policy of Dhaka Stock Exchange, companies that hold regular annual general meetings (AGMs) and pay 10 percent or more in dividends are kept in ‘A’ category. ‘B’ category includes companies that pay less than 10 percent in dividends. And in the case of companies transferred to the ‘Z’ category, according to the stock market rules, if the company does not hold regular AGMs, does not pay dividends to investors, or production is stopped for more than 6 months, then they are transferred to the ‘Z’ category.

Such classification mainly serves as a guide for investors in the stock market, so that they can choose good and bad companies, and helps brokerage houses and merchant banks in providing loans.

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