Dhaka, Bangladesh (BBN) – Khan Brothers PP Woven Bag Industries has got the listing approval from the Dhaka Stock Exchange (DSE), taking the way to make its debut on the premier bourse.
The approval came at a DSE board meeting held on Monday at the DSE board room chaired by its Chairman Justice Siddiqur Rahman Miah.
Trading date of company will be announced soon, said a DSE official. “We will fix the trading date after transferring shares to respective beneficiary owners’ (BO) accounts,” he said.
Khan Brothers PP Woven Bag Industries, a sister concern of Khan Broker’s Group, floated 20 million ordinary shares at an offer price of BDT 10 and raise a fund worth BDT 200 million from public, using the fixed price method. A market lot is 500 shares.
Total subscription received BDT 8.73 billion against public issue of BDT 200 million, meaning oversubscribed by 43.63 times.
The public subscription of the company was held between August 24 to August 28 for resident Bangladeshis and September 6 for non-resident Bangladeshis (NRBs).
The company will use the IPO proceeds for expansion of business activities 81.29 percent, repayment of long-term loan 10.50 percent and working capital purpose 8.21 percent, said the company’s prospectus.
Considering the weighted average of last five years and the audited financial statement ended on June 30, 2013, the company’s earnings per share (EPS) and net asset value are of BDT 0.87 and BDT 14.69 respectively.
AFC Capital acted as issue manager of the Khan Brothers PP Woven’s IPO.
The stock market regulator – Bangladesh Securities and Exchange Commission (BSEC) – approved the IPO proposal of the company on June 24 this year.
BBN/SSR/AD-11Nov14-11:41 am (BST)
