Bangladesh's national flag carrier Biman has finally turned into a public limited company (PLC), starting anew its journey with the name Biman Bangladesh Airlines Ltd, local newspaper The Daily Star reported Tuesday.
Receiving the certificate of incorporation and certificate for commencement of business, Bangladesh Biman corporation Monday completed its final formalities to turn into a PLC.
Under the Company Act, Biman will now run independently and take its own decisions including procurement of new aircraft, Biman high officials said.
It is now the largest PLC in the country with the authorized capital of 150 billion taka (about 2.1 billion U.S. dollars) divided into 1.5 billion ordinary shares of 100 taka (about 1.43 U. S. dollars) each.
However, Biman would initially be a fully government-owned company and its board of directors comprises six government officials -- secretaries of the Cabinet Division and ministries of energy, commerce, finance, civil aviation, foreign affairs.
The six secretaries and a joint secretary to the civil aviation ministry have been made the seven shareholders of the national flag carrier corporation turned PLC, Biman sources said.
Under the PLC arrangement, the cabinet secretary will be the first chairman of Biman Bangladesh Airlines Ltd and the present Biman managing director (MD) is its chief executive officer as well as MD.
The government will gradually offload up to 49 percent of the shares of the airline to the private sector, holding 51 percent shares in its own hands, Communications Adviser Matin earlier said.
The present caretaker government took the initiative to turn Biman, a massive losing concern, into PLC to make it a healthy and profitable commercial venture.
President Iajuddin Ahmed on July 11 promulgated the Bangladesh Biman Corporation (Amendment) Ordinance to pave the way for turning Biman into a PLC.
Before starting its journey as a PLC, Biman trimmed 1,877 staffs and employees of various levels under the Voluntary Retirement Scheme, reducing its manpower to 2,923.
Source: Xinhua
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