Savar Refractories Ltd., a brick manufacturer listed since 1998, is seeking delisting from the stock market and has offered to purchase public shares at a rate 56% lower than the market price. The company’s delisting plan involves Home Minister acquiring 40% of the public shares, while other family members hold 20% each. They are offering Tk95.52 per share, significantly below the market price of Tk215.5.
The offer is based on the net asset value after a revaluation adjustment. The total value of general investor shares amounts to Tk6.56 crore, with half already deposited in the DSE escrow account.
Savar Refractories decided to delist due to 11 consecutive years of losses, preventing dividend payments and resulting in accumulated losses exceeding paid-up capital. Trading of its shares has been suspended since May 2023. This move reflects the challenges faced by companies struggling with prolonged financial difficulties in maintaining a public listing.
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