Initial Public Offering (IPO) lottery of IFAD Autos Limited (IAL) was held Wednesday to allocate shares among the investors, officials said.
The lottery was held at 10:30am at Seminar Hall of the Institution of Engineers, Bangladesh (IEB) in the city. The IPO result has already been published at websites of IFAD Autos, Dhaka Stock Exchange (DSE), Chittagong Stock Exchange (CSE) etc.
Taskeen Ahmed, managing director of IFAD Autos, Tanveer Ahmed, director of IFAD Autos, Mohammad Hamdul Islam, managing director of Banco Finance & Investment, Noor Ahmed, managing director of Alpha Capital Management and representatives of DSE, CSE and Central Depository Bangladesh Ltd (CDBL) were present, among others.
The public subscription of IFAD Autos was held between November 23 to 27 for resident Bangladeshi and it was continued till December 6 for non-resident Bangladeshi (NRBs). A market lot is 200 shares.
The automobile dealer floated 21.25 million ordinary shares of Tk 10 each at an offer price of Tk 30, including Tk 20 as premium and raised a fund worth Tk 637.50 million from public.
Total subscription received over Tk 10.23 billion against public issue of Tk 637.50 million which is over subscribed by 16.05 times.
As per financial statement for the year ended on June 30, 2014, the company's earnings per share (EPS) stood at Tk 5.16 and net asset value (NAV) per share at Tk 44.12.
The proceeds from the IPO will be used for capital expenditure for assembling & body building units, bank loan repayment and IPO expenses.
Banco Finance and Investment and Alpha Capital Management jointly manage the initial public offering of IFAD Autos.
The securities regulator - Bangladesh Securities & Exchange Commission (BSEC) approved the IPO proposal of IFAD Autos on September 18 this year.
The principal activity and operation of IFAD Autos is importing, marketing, and body building of different models of Ashok Leyland's vehicles in Bangladesh through its own marketing staffs, dealers and selling agents in different districts across the country.
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