Mir Akhter Hossain, a leading infrastructure developer, will hold IPO lottery draw on January 21 (Thursday) to allocate roughly 20.77 million ordinary shares among the investors.
The lottery draw will be held at 11:00am at The Lakeshore Hotels at Gulshan in Dhaka, officials said.
The company's overall IPO subscription hit 7.57 times high as the company received applications of 157.20 million shares against public issue of shares roughly 20.77 million, according to the final status of the subscription.
However, IPO subscription of general public including resident Bangladeshis, non-resident Bangladeshis and affected small investors was oversubscribed by 11.05 times.
The general public including affected investors will get 8.38 million shares and non-resident Bangladeshis will get 2.0 million shares.
After the lottery, result will be published on the websites of the company, issue manager, Dhaka Stock Exchange and Chittagong Stock Exchange.
Bangladesh Securities and Exchange Commission (BSEC) - the stock market regulator- approved the company's IPO proposal on November 5, 2020.
The company raised a capital worth Tk 1.25 billion from the capital market under the book-building method for expansion of the business.
Earlier the company completed an electronic bidding process and explored its cut-off price of shares - a requirement for going public under the book building method.
The cut-off price of Mir Akhter shares was fixed at Tk 60 each through electronic bidding by eligible investors held between October 4 and October 7 last year.
The company will issue roughly 20.77 million ordinary shares. Of the total shares, 10.38 million are reserved for eligible investors (EIs) at their own bidding price.
Remaining 10.38 million shares for the IPO participants, including general investors and non-resident Bangladeshis, at a 10 per cent discount on the cut-off price, meaning the general investors got IPO share at Tk 54 each.
The company will use the raised fund for purchasing construction equipment and machinery; repay bank loans and IPO-related expenses.
As per the audited financial statement, as of June 30, 2019, the company's earnings per share (EPS) was Tk 6.32, net asset value per share Tk 34.71, including re-evaluated reserve and Tk 33.63 excluding re-evaluated reserve.
Besides, the company's weighted average earnings per share was Tk 6.21.
IDLC Investments is the issue manager for the company's IPO process.
Mir Akhter Hossain Ltd which started its journey in the field of construction industry in 1968 has over fifty years of experience with a proven track record in the construction industry of Bangladesh.
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