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VFS Thread IPO subscription starts today

June 24, 2018 00:00:00


The IPO (initial public offering) subscription of VFS Thread Dyeing will start today (Sunday) and will continue till July 02, according to the website of Dhaka Stock Exchange (DSE).Bangladesh Securities and Exchange Commission (BSEC) approved the company's IPO proposal on April 03. As per the BSEC approval, the VFS Thread Dyeing will raise a capital worth Tk 220 million under fixed price method. To raise this amount of capital, the company will issue 22 million ordinary shares at an offer price of Tk 10 each. The company's market lot consists of 500 shares. The company will utilise the IPO fund to purchase plant and machinery, repay bank loans and bear the IPO expenses. According to financial statement for the year ended on June 30, 2017, the company's net asset value (NAV) per share stood at Tk 19.90 (without revaluation). The weighted average of earnings per share (EPS) was Tk 2.02. Citizen Securities & Investment and First Security Islami Capital & Investment are jointly working as the issue managers of the company's IPO. Incorporated in Bangladesh in 2010, VFS Thread Dyeing is a 100 per cent export-oriented manufacturer of sewing thread products. The company's pre-IPO paid-up capital is above Tk 627.14 million and post-IPO paid-up capital will be above Tk 847.14 million.

— FE Report


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