The initial public offering (IPO) subscription of SK Trims & Industries opens today (Monday) through which Tk 300 million will be raised from the capital market under the fixed price method.
The subscription will remain open till May 22 for resident and non-resident Bangladeshis.
SK Trims, which received the regulatory approval from the Bangladesh Securities and Exchange Commission (BSEC) in February, will float 30 million ordinary shares at an issue price of Tk 10 each.
A market lot is 500 shares and the required amount (per lot) of foreign currency for NRBs and foreign applicants for IPO of the company is US$ 60.43 or GBP 42.71 or EUR 49.11, according to Dhaka Stock Exchange (DSE).
The company will use the IPO fund for procurement of capital machinery and equipment (42.42 per cent), construction of building and other civil works (49.64 per cent) and meeting the IPO expenses (7.94 per cent).
As per the entity's audited financial statements for the year ended on June 30, 2017, the company's net asset value per share and weighted average earnings per share are Tk 12.79 and Tk 1.31 respectively. The company's basic earnings per share stood at Tk 4.65 for the year ended on June 30, 2017.
The company's pre-IPO paid-up capital is Tk 400 million and authorised capital is Tk 1.0 billion.
Imperial Capital Limited and BMSL Investment Limited are jointly working as the issue manager of the company's IPO.
SK Trims & Industries, which started its commercial operation in 2014, engaged in manufacturing of all kinds of swing thread, elastic, poly, carton, photo card, back board, bar code etc for export-oriented garments industry.
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