The cut-off price of shares of JMI Hospital Requisite Manufacturing has been fixed at Tk 25 each through electronic bidding by eligible investors.
The eligible investors took part in the price discovery of the company's shares by bidding for 72 hours -January 9 to January 12 -- a requirement for going public under the book-building method.
During the period, 385 eligible investors offered different prices. Among them, 379 bidders offered Tk 25 each to buy the company's shares, according to the data from the electronic subscription system (ESS).
Two bidders offered Tk 23 each, two bidders offered Tk 22 each, one bidder offered Tk 24 each and another one offered Tk 16 each to buy the JMI Hospital Requisite's shares.
The valuation report submission period for eligible investors through the electronic subscription system started at 10:30am on January 13 and continue until 10:30am today (Monday), according to Dhaka Stock Exchange.
JMI Hospital Requisite received regulatory approval from the Bangladesh Securities and Exchange Commission (BSEC) on November 16, 2021 for raising Tk 750 million by issuing IPO shares under the book-building method.
The company will issue IPO shares to general investors at 20 per cent discount on the cut-off price, meaning the general investor will get IPO shares at Tk 20 each, as per the BSEC approval.
The company will utilise the IPO fund for the purpose of purchasing machinery, constructing building, land development, repaying bank loans and bearing IPO expenses.
As per the company's financial statement for the year ended on June 30, 2020, the weighted average earnings per share (EPS) for the last five years stood at Tk 2.42.
For the same period, the company's net asset value (NAV) per share stood at Tk 27.78 (without revaluation), and the value is Tk 29.99 (with revaluation).
Janata Capital and Investment is working as issue manager of the JMI Hospital Requisite.
As per the BSEC condition, the company will not be able to approve inter-company loans. It will not be able to recommend any dividend, its approval, and distribution before listing with the stock market.
At present, JMI Group has more than 10 companies. After completing all procedures, JMI Hospital Requisite Manufacturing will be the Group's second listed company after JMI Syringes & Medical Devices.
JMI Syringes was listed on the Dhaka bourse in 2013. The company's share price closed at Tk 343.90 on Sunday, losing 0.49 per cent over the previous day.
© 2024 - All Rights with The Financial Express
