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Published : 06 Nov 2025, 06:11 PM
Five financially troubled Shariah-based private banks have suspended share trading, a day after Bangladesh Bank initiated formal steps to merge them.
The announcement came on Thursday through notices to investors from the Dhaka Stock Exchange (DSE), confirming that trading would remain halted “until further notice”.
The suspension followed their declaration as non-functional on Nov 5 under Section 5 of the Bank Resolution Ordinance 2025.
The five banks involved in the merger are First Security Islami Bank, Global Islami Bank, Union Bank, EXIM Bank, and Social Islami Bank.
Under the central bank’s directive, the boards of directors of these institutions were dissolved, and their managing directors were ordered to resign. Administrators have since been appointed to manage their operations.
A day after the administrators assumed control, the suspension of share trading was also confirmed through the Chattogram Stock Exchange (CSE).
Bangladesh Bank Governor Ahsan H Mansur announced the merger on Wednesday, calling it a necessary step to stabilise the sector.
Declaring that the banks’ shares had lost all market value, Mansur said the per-share net asset value (NAV) has become negative by Tk 350 or Tk 420.
RETAIL STAKE IN BANKS
General investors held 39 percent of the total shares of EXIM Bank at the end of September, according to data released by the Dhaka Stock Exchange (DSE).
Institutional and foreign investors owned 29 percent while sponsors and directors held only 32 percent of EXIM Bank shares. The EXIM Bank has about 1.44 billion shares against a paid-up capital of Tk 14.47 billion. The last share had changed hands at Tk 3.
First Security Islami Bank had about 1.2 billion shares against a paid-up capital of Tk 12.08 billion at the end of October.
About 65 percent of the shares belonged to general investors, followed by nearly 29 percent held by institutional investors, nearly 6 percent owned by directors, and 0.15 percent held by foreign investors. The last trading price of a share of the bank was Tk 1.90.
Global Islami Bank’s paid-up capital of Tk 9.87 billion was represented by about 98.7 million shares.
General investors held a 31.20 percent share, while institutional investors owned 53.37 percent. Directors owned 15.43 percent of the shares. The bank has no foreign investors. The last trading price of a share was Tk 1.77.
With a paid-up capital of Tk 10.36 billion, Union Bank issued about 1.03 billion shares. Of the shares, sponsors and directors owned 54.49 percent, general investors held 31.86 percent, institutional investors 13.64 percent, and foreign investors 0.01 percent until the last day of October.
Social Islami Bank’s total number of shares stands at about 1.14 billion, corresponding to a paid-up capital of Tk 11.40 billion. The last trading price of a share of the bank was Tk 1.50. General investors held 18.80 percent of the shares, with institutional investors owning 68.71 percent, sponsors and directors 11.62 percent, and foreign investors 0.87 percent.
