S Alam under scrutiny

The Dhaka Stock Exchange on Sunday kept trading of the shares of S Alam Cold Rolled Steels halted as the bourse’s management initiated an enquiry after media reported that the company had acquired majority stakes of Oman Bangladesh Leasing and Finance Ltd, a non-banking financial institution.
‘Trading of the shares of the company remains halted as the DSE management is conducting an enquiry into the acquirement reported in the national dailies on April 3, by which Md Saiful Alam Masud, S Alam group’s chairman and managing director of the company, will be the chairman of the OBLFL and the information was not intimated to bourse earlier,’ said an official of the DSE.
The DSE official said, ‘DSE has asked the company to intimate by return fax about the details involvement of company’s sponsors/directors in the OBLFL.’ ‘The bourse has also asked for explanation as why this has not been disclosed to the bourse as additional disclosure and why appropriate action shall not be taken against all concerned for failure to provide correct information,’ he said.
Earlier on April 1, in response to a DSE query regarding unusual price hike, the company replied on the same date that it did not have any undisclosed material decision/information relating to the company’s operation/profitability that might have impact on the trade of the shares of the company, the official added.
On April 1, share price of S Alam Cold Rolled Steels peaked to Tk 702.50 from Tk 467.75 on March 5, according to DSE statistics.

The New Age