Companies can proceed with IPOs under existing rules: BSEC

The Bangladesh Securities and Exchange Commission (BSEC) on Wednesday said companies seeking to raise capital through the country’s capital market can proceed with initial public offerings (IPOs) under the existing Bangladesh Securities and Exchange Commission (Public Offer of Equity Securities) Rules, 2025.

In a press release, the securities regulator said companies currently preparing to raise capital through IPOs do not need to suspend or delay their applications in anticipation of possible amendments to the relevant rules.

The BSEC said that if any amendment, change or relaxation is introduced to the IPO regulations later, necessary facilities would be provided to applicant companies, where applicable, in light of those changes.

Meanwhile, established companies that do not need fresh capital for business expansion or operations but whose existing shareholders want to sell their shares through the capital market may have an alternative route through direct listing.

Under the proposed direct-listing mechanism, a company would be able to list on a stock exchange by offloading shares held by its existing shareholders, without issuing new shares itself.

The BSEC has already drafted the Bangladesh Securities and Exchange Commission (Direct Listing of Securities on the Stock Exchange) Rules, 2026 and published the draft for public opinion.

Under the proposed rules, eligible companies would be able to apply for direct listing.

The commission said the proposed framework would increase the participation of new and capable companies in the capital market, create opportunities for existing shareholders to offload shares and help expand the market’s depth and breadth.

Once the proposed rules come into effect, direct listing would provide an additional avenue for eligible companies to enter the capital market.

The BSEC has therefore encouraged interested companies to make the necessary preparations.

The regulator said companies requiring fresh capital may enter the capital market through IPOs, while those that do not need new capital but want their existing shareholders to offload shares may consider direct listing as an alternative.

The BSEC said it would continue its policy and regulatory reform initiatives to increase the participation of sound and successful companies in the country’s capital market and build a deeper, more diversified, transparent and efficient market.