BM Desk : The integration process is being closely examined by the non-listed Samin Food and Beverage Industries and Textile Mills Limited and the listed RN Spinning Mills, both of which are governed by the Bangladesh Securities and Exchange Commission (BSEC).
An inquiry committee has been established by the regulatory authority to look into the integration process and the useful papers that the firms have given in order to safeguard investor interests and guarantee stock market transparency.
Sources from BSEC claim that Samin Food and RN Spinning have both requested all of the 20–2021 financial, legal, and corporate information. Among these are the proceedings of the board and annual general meetings (AGMs), the independent scrutinizer’s report on the integration, and the High Court’s approval order for the integration.
Furthermore, the BSEC has requested pertinent correspondence, evaluation reports, a list of board of directors’ members, and quarterly shareholding information from the DSE or Commission during the BSEC’s consolidation and integration process.
The regulatory authority has also requested clarification regarding any significant uncertainties related to the company’s ‘Going Concern’ status as noted in the last six years of audit reports. Additionally, they have elaborated on the negative opinions expressed by the audience between 2021 and 2021.
Moreover, the regulatory agency has requested comprehensive details concerning insurance claims, which include the total claim amount, the current status of collections, any arrears, and the measures taken to recover the insurance compensation.
Furthermore, the consolidation process and a list of BSEC Sister Consciousness have made it necessary to obtain a non-Objection Certificate (NOC) from the creditors.
RN Spinning’s operations were suspended after the 21st-century fire disaster, and it has been regularly evaluating the losses sustained since the fiscal year. The company intends to move its facilities to Gazipur to enable the restart of production and has suggested a combination with Samin Mills as part of its recovery plan.
After the BSEC agreed in October 2021, the High Court approved the consolidation in 2021. Samin Food stockholders received shares at a ratio of 1:3, and RN Spinning shareholders were given new shares at a ratio of 1:4.1 as part of this program.
