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Coppertech subscription opens today

Public subscription of Sea Pearl Resort to start April 22

FE Report | March 31, 2019 00:00:00

The initial public offering (IPO) subscription of Coppertech Industries opens today (Sunday).

The company will raise a fund worth Tk 200 million from the capital market under the fixed price method.

The subscription for shares of the Coppertech by the eligible investors through electronic subscription system will be continued until April 09.

The securities regulator -- Bangladesh Securities and Exchange Commission (BSEC) -- approved the IPO proposal of the company on December 26, 2018.

As per the BSEC approval, the company will raise a capital worth Tk 200 million by offloading 20 million ordinary shares at an issue price of Tk 10 each.

A market lot consists of 500 shares and an investor needs Tk 5,000 to apply for each lot of the company's IPO shares.

For non-resident Bangladeshi (NRB) and foreign applicants, the required amount (per lot) for subscription is US$ 59.92 or GBP 45.40 or EUR 53:00, according to the Dhaka Stock Exchange (DSE).

The company will utilise the IPO proceeds for plant & machinery with installation (32.50 per cent), bank loan repayment (32.50 per cent), building and other civil works (27.50 per cent) and IPO expenses (7.50 per cent).

As per the financial statement for the year ended on June 30, 2018 the company's net asset value (NAV) per share, without revaluation, was Tk 12.06.

For the same period, the earnings per share (EPS) of the Coppertech stood at Tk 2.60, whereas the diluted EPS was Tk 1.03. The weighted average EPS was Tk 0.87.

MTB Capital is working as issue manager of the Coppertech Industries' IPO.

Located in Hobiganj, the company is engaged in manufacturing and marketing of different types of copper bar, copper rod, copper strip, copper wire, copper pipe and copper tube. The company started its commercial operation in June 2014, according to its official website.

Sea Pearl Beach Resort: The IPO subscription of Sea Pearl Beach Resort & Spa

Ltd is set to open on April 22, aiming to raise Tk 150 million from the capital market.

The subscription for shares of the company will be continued until May 06.

Sea Pearl Beach Resort is originally owned by the Hotel Royal Tulip Sea Pearl Beach Resort situated in Cox's Bazar.

The securities regulator has approved the IPO proposal of the company on February 19 to raise the said amount of fund.

As per the BSEC approval - under the fixed price method - Sea Pearl Beach Resort will offload 15 million ordinary shares at an offer price of Tk 10 each.

The company will use the IPO fund for interior, finishing and purchase furniture for the resort's rooms, purchase land, and to bear the IPO expenses.

According to the financial statements ended on June 30, 2018, the company's net asset value (NAV) per share stood at Tk 10.48 while the weighted average (three years) earnings per share (EPS) was Tk 0.41.

Banco Finance and Investment Ltd and Prime Bank Investment Ltd are jointly working as the issue manager for the IPO process.

After completing all the procedures, it will be the 5th listed company in the 'travel & leisure' sector in the Dhaka Stock Exchange (DSE).

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