The Bangladesh Securities and Exchange Commission (BSEC) has taken an initiative to create a direct-listing route, alongside the existing IPO process, for companies interested in joining the country’s capital market. Companies that need fresh capital will be able to enter the market through an IPO under existing rules. For established companies that do not need new capital but want to get listed by having existing shareholders offload their shares, a direct-listing path is being created instead. BSEC announced this in a notice on Wednesday.
The notice said companies wishing to raise capital from the market through an IPO must apply following the “Bangladesh Securities and Exchange Commission (Public Offer of Equity Securities) Rules, 2025.” Companies that have already applied for an IPO, or wish to apply afresh, do not need to suspend or delay their applications because of possible future changes to the rules. BSEC said that if any reform, amendment or relaxation is made to IPO-related rules in future, companies that have already applied will also become eligible for those benefits where applicable.
On the other hand, some established companies do not need to raise fresh capital to run or expand their business, but their existing shareholders want the company listed on the capital market by offloading the shares they hold. The commission is considering direct listing as an alternative arrangement for such companies. Under the proposed direct-listing system, a company would not need to issue new shares to raise capital from the public. Instead, it would be able to list on the stock exchange simply by having existing shareholders offload the shares they hold.
To this end, BSEC has already drafted the “Bangladesh Securities and Exchange Commission (Public Offer of Equity Securities) Rules, 2026.” The draft has been published for public feedback. Under the proposed rules, companies meeting the specified eligibility criteria will be able to apply for direct listing. BSEC says that if the proposed direct-listing framework takes effect, it will create an opportunity to increase the participation of new and capable companies in the capital market. At the same time, alongside creating an opportunity for existing shareholders to offload shares, it could also increase the market’s depth and breadth.
The commission said the “Bangladesh Securities and Exchange Commission (Public Offer of Equity Securities) Rules, 2026” will be published as a gazette and brought into effect very soon. BSEC has advised companies that may fall under the proposed direct-listing framework, and those interested in getting listed on the capital market, to make the necessary preparations. According to the commission, policy and regulatory reforms will continue, aimed at further broadening listing opportunities based on a company’s type and needs, and at increasing the participation of good, capable companies in the country’s capital market.