Seven cos to raise Tk 600m through IPOs by Nov
FE Report | Monday, 18 August 2008
Seven public limited companies under various sectors are in the process of raising Tk 600 million through issuing initial public offerings (IPOs) by November this year.
On the other hand, two companies - Grameenphone, the largest cell phone operator in the country and BSRM, a leading steel products manufacturing company-have already submitted their IPO proposals to the Securities and Exchange Commission (SEC).
The seven companies are Summit Alliance Port Limited (SAPL),Taqaful Islami Insurance Limited, Standard Insurance Limited, Northern General Insurance Limited, Maksons Spinning Limited, Republic Insurance Company Limited and National Housing Finance and Investment Limited
Of the seven companies, five have already got IPO permission from the securities regulator and announced their subscription date for raising capital from the public.
The SAPL, a private container terminal, has already completed its IPO subscription while National Housing Finance and Investment Limited (NHFIL) will publish its IPO prospectus soon.
The SAPL will raise its paid up capital to Tk 500 million from existing Tk 400 million through IPO.
The company, a joint venture of Summit Group and Alliance Holdings Limited that offers off-dock services, will utilise the fund in developing 7.14 acres of land for setting up a warehouse in Chittagong.
Beginning operation in 2003, the SAPL will be the first such type of company to be listed with the stock exchanges, and offered one million primary shares with the face value Tk 100 per share.
The diluted net asset value (NAV) of the SAPL is Tk 170.66 while its earnings per share (EPS) is Tk 29.54.
Taqaful Insurance will raise its paid up capital to Tk 150 million from existing Tk 60 million for expanding its commercial activities. Its subscription will begin from August 25.
The face value of each share has been fixed at Tk 100. EPS of the insurance company is Tk 25.09 and NAV Tk 140.34. As of December 31, 2007, the company has earned net profit of more than Tk 10 million.
Standard Insurance will raise Tk 90 million from the stock market in order to increase its paid up capital upto Tk 150 million. The subscription of the insurance will begin from Sept 7.
The face value of each share is Tk 100. Its NAV is Tk 19.52 and EPS Tk 126.70.
Republic Insurance will float shares to increase its paid up capital upto Tk 150 million from existing Tk 60 million. With a face value of Tk 100 each, the EPS of the insurance company is Tk 17.20 and NAV Tk 122.23.
Its subscription will start from October 26.
Northern General Insurance Limited will raise its paid up capital to Tk 90 million through IPO. The face value of the insurance is Tk 100 each and EPS is Tk 12.20, while NAV is Tk 152.14. The subscription of the Northern insurance will begin from September 14.
Maksons Spinning will increases its paid up capital upto Tk 380 million from existing Tk 300 million through public offer. IPO subscription of the company will begin from October 12.
The face value of each share has been fixed at Tk 10. EPS of the textile company is Tk 25.09 and NAV Tk 140.34. As of December 31, 2007, the company has made net profit of more than Tk 10 million.
The NHFIL, a private sector housing finance company, which began its operation in 1999, will issue 0.5 million shares with the face value of Tk 100 per share.
The NAV of the non-banking financial institutions is Tk 131.98 and EPS is Tk 15.82. The existing paid-up capital of the bank is Tk 470 million.
Grameenphone (GP), the country's largest cell phone operator, submitted application for IPO to the SEC seeking to raise $300 million, of which $150 million from the country's stock markets through IPO and the rest through private placement for developing its network.
It will be the largest-ever IPO in the country and first by a telecom company.
Citigroup Global Markets Bangladesh Private Ltd has been appointed as global coordinator, issue manager and lead underwriter of the GP IPO.
Launched in 1997, GP's 62 per cent share is owned by Norway's Telenor and 38 per cent by Bangladesh's Grameen Telecom.
BSRM Steels Ltd, the country's only manufacturer of 500 grade steel rod eyes to raise Tk 200 million from the public to fund further expansion of its business.
If approved, BSRM will float 20,00,000 ordinary shares of Tk 100 each to raise the Tk 200 million, which will be added to its existing paid up capital of Tk 1.25 billion.
The company, which started production in March at its new Tk 3.70 billion Chittagong plant, is part of the BSRM Group, the largest steel rod manufacturer in the country.
On the other hand, two companies - Grameenphone, the largest cell phone operator in the country and BSRM, a leading steel products manufacturing company-have already submitted their IPO proposals to the Securities and Exchange Commission (SEC).
The seven companies are Summit Alliance Port Limited (SAPL),Taqaful Islami Insurance Limited, Standard Insurance Limited, Northern General Insurance Limited, Maksons Spinning Limited, Republic Insurance Company Limited and National Housing Finance and Investment Limited
Of the seven companies, five have already got IPO permission from the securities regulator and announced their subscription date for raising capital from the public.
The SAPL, a private container terminal, has already completed its IPO subscription while National Housing Finance and Investment Limited (NHFIL) will publish its IPO prospectus soon.
The SAPL will raise its paid up capital to Tk 500 million from existing Tk 400 million through IPO.
The company, a joint venture of Summit Group and Alliance Holdings Limited that offers off-dock services, will utilise the fund in developing 7.14 acres of land for setting up a warehouse in Chittagong.
Beginning operation in 2003, the SAPL will be the first such type of company to be listed with the stock exchanges, and offered one million primary shares with the face value Tk 100 per share.
The diluted net asset value (NAV) of the SAPL is Tk 170.66 while its earnings per share (EPS) is Tk 29.54.
Taqaful Insurance will raise its paid up capital to Tk 150 million from existing Tk 60 million for expanding its commercial activities. Its subscription will begin from August 25.
The face value of each share has been fixed at Tk 100. EPS of the insurance company is Tk 25.09 and NAV Tk 140.34. As of December 31, 2007, the company has earned net profit of more than Tk 10 million.
Standard Insurance will raise Tk 90 million from the stock market in order to increase its paid up capital upto Tk 150 million. The subscription of the insurance will begin from Sept 7.
The face value of each share is Tk 100. Its NAV is Tk 19.52 and EPS Tk 126.70.
Republic Insurance will float shares to increase its paid up capital upto Tk 150 million from existing Tk 60 million. With a face value of Tk 100 each, the EPS of the insurance company is Tk 17.20 and NAV Tk 122.23.
Its subscription will start from October 26.
Northern General Insurance Limited will raise its paid up capital to Tk 90 million through IPO. The face value of the insurance is Tk 100 each and EPS is Tk 12.20, while NAV is Tk 152.14. The subscription of the Northern insurance will begin from September 14.
Maksons Spinning will increases its paid up capital upto Tk 380 million from existing Tk 300 million through public offer. IPO subscription of the company will begin from October 12.
The face value of each share has been fixed at Tk 10. EPS of the textile company is Tk 25.09 and NAV Tk 140.34. As of December 31, 2007, the company has made net profit of more than Tk 10 million.
The NHFIL, a private sector housing finance company, which began its operation in 1999, will issue 0.5 million shares with the face value of Tk 100 per share.
The NAV of the non-banking financial institutions is Tk 131.98 and EPS is Tk 15.82. The existing paid-up capital of the bank is Tk 470 million.
Grameenphone (GP), the country's largest cell phone operator, submitted application for IPO to the SEC seeking to raise $300 million, of which $150 million from the country's stock markets through IPO and the rest through private placement for developing its network.
It will be the largest-ever IPO in the country and first by a telecom company.
Citigroup Global Markets Bangladesh Private Ltd has been appointed as global coordinator, issue manager and lead underwriter of the GP IPO.
Launched in 1997, GP's 62 per cent share is owned by Norway's Telenor and 38 per cent by Bangladesh's Grameen Telecom.
BSRM Steels Ltd, the country's only manufacturer of 500 grade steel rod eyes to raise Tk 200 million from the public to fund further expansion of its business.
If approved, BSRM will float 20,00,000 ordinary shares of Tk 100 each to raise the Tk 200 million, which will be added to its existing paid up capital of Tk 1.25 billion.
The company, which started production in March at its new Tk 3.70 billion Chittagong plant, is part of the BSRM Group, the largest steel rod manufacturer in the country.