Salvo Chemical, a company listed on the stock exchange, has made two unsuccessful attempts to apply for new shares. The Bangladesh Securities and Exchange Commission (BSEC) rejected their application because the company’s entrepreneurs and directors did not meet the minimum requirement of 30 percent shareholding. Currently, the total shareholding held by the entrepreneurs and directors of the company is only 25.18 percent.

Initially, on July 31, 2024, Salvo Chemical sought to distribute shares valued at Tk 6.4 million among the entrepreneurs and directors at a nominal price, but BSEC rejected this request on October 7 of the same year. Subsequently, on January 15 of this year, the company submitted another application, proposing to issue shares worth Tk 10.24 million at a price of Tk 16 per share. However, once again, the regulatory authority did not grant approval for the application.

According to the company’s auditor, Salvo Chemical has not revalued its fixed assets in accordance with International Accounting Standards (IAS)-16, and there is no record of fixed assets available.

Additionally, the company is not operating in compliance with labor laws. It has not established separate bank accounts or maintained books of accounts for the purpose of creating or managing a distinct fund for the workers, as required by law.

Salvo Chemical, which has been listed on the stock exchange since 2011, currently has a paid-up capital of Tk 65.2 crore. Of the total shares, entrepreneurs own 25.18 percent, general investors hold 62.86 percent, and institutional investors possess 11.96 percent.