Union Bank (Bangladesh) Financial Analysis and Insights

Union Bank (Bangladesh) has a strong presence in the country's financial sector.

The bank offers a range of financial services, including corporate and consumer banking, investment banking, and Islamic banking.

Union Bank's assets stood at Tk 1.44 trillion as of 2022.

The bank has a large network of branches and ATMs across Bangladesh, making it easily accessible to customers.

Union Bank's share price has seen significant fluctuations over the past year, with a 52 Week High of Tk8.60 and a 52 Week Low of Tk3.90.

The bank's share price closed at Tk5.30 on Thursday, after experiencing a 1 Month Change of -9.09% and a 3 Month Change of -23.08%.

Here's a summary of the bank's share price performance over the past year:

The bank has also reported a loss per share of Tk0.77, which is a significant decline from the earnings of Tk0.52 it had a year ago.

Union Bank's share price has seen significant fluctuations over the past year, with a 52 Week High of ৳8.60 and a 52 Week Low of ৳3.90.

This volatility is evident in the bank's 1 Year Change of -52.38%, which far exceeds the general market's performance.

The bank's current share price is ৳4.00, a substantial drop from its IPO price.

Here's a summary of Union Bank's price history and performance:

The bank's beta of 0.21 indicates a relatively stable stock, but its recent performance suggests otherwise.

In the past month, the bank's share price has dropped by -9.09%, and over the past three months, it has decreased by -23.08%.

Union Bank's share closed at Tk5.30 on Thursday. This is a significant drop from its previous closing price.

The bank is facing liquidity issues, which is a major concern for investors. To address this, the central bank permitted Union Bank to borrow from interbank sources.

As of Thursday, Union Bank's share price closed at Tk5.30 on the Dhaka Stock Exchange. This is a stark contrast to the bank's previous earnings.

The bank reported a loss per share of Tk0.77, which is a major setback. This is a decline from its earnings of Tk0.52 a year ago.

Union Bank (Bangladesh) has a diverse shareholder base, with the government holding a significant stake.

The bank's largest shareholder is the Bangladesh Government, with a 24.44% stake in the bank.

In addition to the government, other notable shareholders include the Bangladesh Bank, the central bank of the country, and various institutional investors.

The bank's shares are listed on the Dhaka Stock Exchange (DSE) and the Chittagong Stock Exchange (CSE), providing investors with a platform to buy and sell shares.

As of the latest available data, the bank's market capitalization is around Tk 20,000 crore.

Union Bank's loan issues are quite concerning. The bank's outstanding loans stood at Tk 25,507 crore as of December last year.

The central bank conducted an inspection and found that money was withdrawn from the bank even after its board was reconstituted in August. This indicates a lack of oversight and control.

A staffer of S Alam Group took out Tk 118 crore from Union Bank without any approval or following any banking norms. This is a clear violation of banking guidelines.

The loan of Tk 118.63 crore was given to a customer without any approval of the lender's head office. The customer's mobile phone number was switched off, making it difficult to contact them.

Union Bank approved Tk 11,423.13 crore loans to 247 beneficiaries of companies of S Alam Group. The outstanding loans of these companies have stood at Tk 17,229.10 crore.

The bank management and board were directly involved in approving the loans to their names and transferring the money to different accounts of the controversial group and its associate companies. This raises questions about the bank's governance and accountability.

On September 3 and 9, bank Managing Director ABM Mokammel Hoque Chowdhury withdrew Tk 2.32 crore from the bank when customers failed to get their deposited money back.