Merchant Banking
Our capital market is evolving fast, continuously reshaping and opening new horizons to investors. Keeping pace with these changes, we have been elevating our capacities to meet the demands of changes, to serve the market better.
As a merchant banker with foresight in the changes, we have expanded our service horizon of merchant banking by offering a comprehensive range of financial solutions starting from debt to equity through public offering, private equity and corporate advisory service; personalized portfolio investment products.
Merchant Banking Services
LankaBangla Finance Limited provides merchant banking services in the following areas:
Issue-Management
LankaBangla provides such services to an issuer company which includes inter alias regulatory compliance, placement arrangement, underwriting arrangement, post issue service, distribution, etc.
Underwriting
LankaBangla by providing underwriting service offers comfort to the issuing company. Apart from acting as underwriter to public issue, we also act as the Arranger of Underwriting.
Merger, Amalgamation and Private Placement
LankaBangla recognizes that the merger of two companies may represent the culmination of years of effort by their owners and management. We guide shareholders and management teams through the merger and acquisition process to maximize value and minimize disruption to the business.
Portfolio-Management
LankaBangla’s Portfolio Management service is designed to provide personalized, secure and simple financial solutions for a wide variety of investors who wish to enhance their opportunities while minimizing their administrative burden.
Why Us?
- Provides the best possible investment avenue for your savings.
- Creates opportunity to maximize your returns.
- Provides investment counseling to minimize risk.
- Broaden the base of investment.
- Ensures securities dealing promptly and efficiently through the best brokerage house of the country.
- Provides loan at a reasonable rates to investors with good track record.
Simple & hassle free procedure of opening and maintaining account.
- Provides professional counseling in various Merchant Banking fields.
- Deputed an experienced professional team to serve the clients.
Our Portfolio Investment Product
LankaBangla Finance provides comprehensive non-discretionary portfolio management services including trades execution and margin loan under its Investor’s Portfolio Account called ‘IPA Scheme’. We are capable of executing proper and efficient trades through our subsidiary organization “LankaBangla Securities Limited”, the largest stock broker of the country.
Major Features of “IPA” Scheme
- Clients shall have absolute discretionary power to make investment decisions from the securities selected and approved by the Portfolio Manager
- All the securities purchased for the Clients shall remain in lien in favor of the Portfolio Manager
- Clients will be able to provide easy order submission facility through Fax or E-mail
- The Portfolio Manager will administer the investments of the Clients and also provide the total custodial services
- Clients will enjoy trades both at the Dhaka & Chittagong Stock Exchange
- To facilitate the Clients to enhance their return on investments through leveraging, the Portfolio Manager will extend margin loan to the Clients.
Key Information on “IPA” Scheme
| Minimum Investment |
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Tk. 500,000 (Five Hundred Thousand) only* |
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| Margin Loan |
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Maximum 100% of Client's equity, but not exceeding Tk. 20.00 (Twenty) Million only. Subject to changes in SEC’s directives and related rules |
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| Margin Call |
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During the period of trading share securities, if at any given point in time, the client’s equity comes down to or falls below 80% of the total debt liability, LBFL shall call for additional Margin deposit from the client for maintaining the stipulated debt-to-equity ratio of 1:1*. Subject to changes in SEC’s directives and related rules |
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| Fund withdrawal |
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a) The client can withdraw the excess fund after maintaining the required debt-equity ratio of 1:1* |
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b) If the account holder(s) have no debt liability accountholder(s) can withdraw balance fund after maintaining a minimum fund balance of Tk. 10,000 or equivalent market value of securities. |
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| Security withdrawal |
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The accountholder(s) can withdraw Securities only in case of account closing. |
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| Designated Broker |
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LankaBangla Securities Ltd.
Corporate Member- DSE & CSE |
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Fees and Charges *
| Documentation Fees |
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Tk. 500/= (One-off) |
| Management Fee |
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1.50% p.a. on asset value, charged quarterly |
| Interest on Loan |
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15.50% p.a., charged quarterly |
| Brokerage Fee |
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0.35% on transaction value |
| Out-of-Pocket |
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On actual basis |
| Third party charges |
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( CDBL,SMS etc ) |
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