Z category companies to divide into three categories

Bangladesh Securities and Exchange Commission (BSEC) is going to divide the Z category companies listed in the capital market into three categories.

According to BSEC source, the decision will be finalized at a regular meeting on Thursday.

“Considering the relatively good and bad shares, the existing 53 companies in the Z category will be divided into Green, Yellow and Red categories. There will also be instructions to take different measures for these,” the source said.

The new guidelines will also apply to companies that fall into this category in the future. On the other hand, the companies that are unable to pay cash dividends for the last two consecutive years will not be categorized in” Z” now.

The source further said in case of subsequent dividend declaration of a company, the declared dividend of the previous year will be taken into account.

sunbd/sks