Apex Footwear has decided to issue redeemable preference shares worth up to Tk500 crore to repay its existing loans, subject to approval from shareholders and the Bangladesh Securities and Exchange Commission (BSEC).
The company’s board of directors approved the fundraising plan at a meeting, according to a disclosure published on the Dhaka Stock Exchange (DSE) on Sunday.
Alongside the preference share issuance, the board decided to amend the company’s Memorandum and Articles of Association, subject to shareholder approval.
The board also recommended a 15 per cent cash dividend and a 15 per cent stock dividend for the financial year ended on 30 June 2026.
Apex Footwear said the stock dividend would be issued by converting retained earnings into paid-up capital to strengthen capital adequacy.
The dividend will be paid from accumulated profits and not from capital reserve or revaluation reserve.
The company reported earnings per share of Tk7.91 in FY2025-26, compared with a restated Tk6.90 a year earlier.
Its net asset value per share stood at Tk355.25 on 30 June, up from a restated Tk349.35 in the previous year.
However, the company’s net operating cash flow per share turned negative at Tk96.97 during the year, compared with a restated positive Tk45.19 in the previous financial year.
Apex Footwear has scheduled its annual general meeting for 29 November at 11am. The meeting will be held virtually, with the record date set for 15 October.
On the record date, the company’s share trading will remain suspended, and the shareholders identified on that day will be entitled to dividends and general meeting participation.
Apex Footwear shares, with a face value of Tk10, closed 3.77 per cent lower at Tk206.90 on the DSE.
