Aamra Networks is going to raise Tk 92 crore by issuing rights shares to upgrade the network and repay loans.

The Bangladesh Securities and Exchange Commission (BSEC) approved the move yesterday in a commission meeting at its office in the capital's Agargaon. 

The company will issue three crore shares at a price of Tk 30 each. The face value is Tk 10.

Existing shareholders of the company will get one share against their holding of two shares, the BSEC said in a press release.

A rights issue is an invitation to existing shareholders to purchase additional new shares in the company, giving them securities called rights. With the rights, shareholders can purchase new shares at a discount to the market price on a stated future date.

The issuer will use the proceeds from the sales of the shares to pay back bank loans and upgrade its network. 

UCB Investment is the issue manager of the rights share issuance.

The company's net asset value was Tk 38.11 on June 30 while earnings per share stood at Tk 3.64 in 2022-23. The paid-up capital amounts to Tk 61 crore. 

Aamra's share declined 6.96 percent to Tk 52.10 on the Dhaka Stock Exchange today.