Banglalink wants to go public, BSEC assures of support

Banglalink Digital Communications Ltd, the third-largest mobile phone operator in the country, has again expressed its interest to be listed in the stock market after more than a decade since its first rejection by the stock market regulator.

The company wants to float 10% of its shares, officials said.

The information was disclosed following a meeting between senior Banglalink officials and Professor Shibli Rubayat-Ul-Islam, chairman of the Bangladesh Securities and Exchange Commission (BSEC) on Monday to discuss the potential listing.

The meeting was fruitful and the BSEC chairman assured Banglalink officials of all the necessary support for the company to go public, BSEC Executive Director Rezaul Karim told The Business Standard.

Banglalink's Chief Executive Officer (CEO) Erik Aas, Chief Financial Officer Cem Velipasaoglu, along with Veon Chairman Emeritus Augie K Fabela II, Veon CEO Kaan Terzioglu were present in the meeting.

Dutch firm Veon is the ultimate holding company of Banglalink. It owns Global Telecom Holding which holds Banglalink's 100% shares' owner Malta-based Telecom Ventures Ltd.

Banglalink had previously attempted to get listed in the stock market in mid-2010 after suffering losses but was rejected by the BSEC. The company has since returned to profits amid the pandemic, its officials told the BSEC in the last meeting.

In 2021, it registered 5.1% revenue growth to TK4,794 core.

Banglalink once emerged as the second-largest cellphone operator in the country after Egyptian Orascom Telecom took over erstwhile Sheba Telecom to rebrand it as Banglalink in 2004-05.

Banglalink lost the second position in the cellphone market in late 2016 to Robi Axiata after the latter merged with Airtel Bangladesh.

Robi Axiata in late 2020 went public following the largest ever Tk523.8 crore initial public offering (IPO) in Bangladesh.

Grameenphone, the telecom market leader, floated its Tk486 crore IPO in 2009.

At the end of 2021, with 3.72 crore subscribers, Banglalink's market share was 21%, which was 30% for Robi and 46% for Grameenphone, according to the Association of Mobile Telecom Operators of Bangladesh.