Dhaka, Bangladesh (BBN)-Pacific Denims will allocate 75 million ordinary shares among the successful applicants as the lottery of initial public offering (IPO) was held on Tuesday, officials said.
IPO lottery programmee was held at 10:30am at auditorium of Nabab Nawab Ali Chowdhury Senate Bhaban at University of Dhaka.
The IPO result has been published on the websites of Dhaka Stock Exchange (DSE), Chittagong Stock Exchange (CSE) and the company.
Shadequl Alam (Yeasin), chairman of Pacific Denims inaugurated the lottery programmee where managing director of the company Md. Shafiul Azam (Mohsin), representatives of DSE, CSE, Central Depository Bangladesh and issue manager were present, among others.
IPO subscription of the export-oriented garment and denim fabric producer, floated 75 million ordinary shares of BDT 10 each and raised BDT 750 million from the public using the fixed price method.
The company’s IPO subscription was held between December 11 to December 19 for resident and non-resident Bangladeshis.
The company’s IPO oversubscribed by more than 21 times as the company received total of BDT 15.83 billion against public issue of IPO of BDT 750 million.
The Bangladesh Securities and Exchange Commission (BSEC) approved the IPO proposal of Pacific Denims on September 1 for raising BDT 750 million from the public.
Pacific Denims will use the funds from the initial public offering for its business expansion, loan repayments and IPO expenses.
The company’s weighted average earnings per share (EPS) stood at BDT 2.63 and net asset value (NAV) without revaluation per share at BDT 22.59 as of December 2015. AFC Capital acted as issue manager of the Pacific Denims IPO.
At present, 45 textiles and garment companies are listed on DSE, accounting for about 4.0 per cent of the premier bourse’s total market capitalisation.
Located at Pacific Integrated Industrial Park in Munshiganj, Pacific Denims is one of the largest mills in the denims industry in Bangladesh.
The company’s yearly production capacity is 18 million yards of denim fabrics. Mark & Spencer, Tesco, Zara, H&M and Wal-Mart are the international buyers of Pacific Denims, according to the company’s website.
BBN/SK/AD