The government has initiated the process of attracting new investors for Nagad, a mobile financial services (MFS) provider under the Bangladesh Post Office.
This week, the Bangladesh Investment Development Authority (BIDA) called for applications from financial advisory firms to serve as the “exclusive sell-side mergers and acquisitions adviser” for a potential transaction involving Nagad.
The deadline for firms to submit their applications is September 15.
According to the BIDA, the selected adviser will be tasked with refining Nagad’s positioning and value proposition.
“The firm will need to prepare marketing materials, identify, and approach potential strategic and financial buyers,” BIDA said in the Expression of Interest (EOI) advertisement.
A senior BIDA official revealed that a recent high-level meeting approved the transition of Nagad into the private sector, prompting BIDA’s involvement. This move follows concerns raised by Bangladesh Bank, which found that the Directorate of Posts lacks the capacity to efficiently manage Nagad, thereby necessitating new investors.
Central bank Governor Ahsan H Mansur had earlier emphasised the need for a competent institution to take over. He also highlighted that irregularities caused by the previous management have been addressed, including the removal of nearly 15 million fake or inactive accounts.
