Dhaka, Dec. 16 -- Renata's listed preference shares, offering a 15 per cent return, may serve as an example for other companies seeking to reduce debt burdens while strengthening investor confidence.

To replace high-cost short-term loans with lower-cost, long-term funding, the drug manufacturer issued preference shares worth Tk 3.25 billion through private placement. The shares made their debut on the Alternative Trading Board (ATB) of the Dhaka Stock Exchange (DSE) on Monday.

"The listing of Renata's preference shares has created an opportunity for trading a new product on the Dhaka Stock Exchange," said Mohammad Asadur Rahman, acting managing director of the DSE, at the launch event.

While working to ease its debt pressure, Renata is...