Indo-Bangla Pharma's trading debut today

FE Report | Published: October 18, 2018 10:08:57 | Updated: October 24, 2018 14:18:17

The debut trading of Indo-Bangla Pharmaceuticals will take place on both the stock exchanges under 'N' category today (Thursday), according to the web posting of Dhaka Stock Exchange (DSE).

The officials of Dhaka and Chittagong stock exchanges said the company's listing with the bourses has already been approved.

The Bangladesh Securities and Exchange Commission (BSEC) approved the company's IPO (initial public offering) proposal on October 03 last year.

The Indo-Bangla Pharma raised a fund worth Tk 200 million by issuing 20 million ordinary shares at an offer price of Tk 10 each under the fixed price method.

The company will utilise 29.29 per cent of the IPO proceeds for construction and other civil works, 62.36 per cent for purchasing machinery and 8.35 per cent for bearing the IPO expenses, according to the IPO prospectus.

The IPO subscription of the company was held between August 09 and August 16 this year.

The company's IPO is oversubscribed by more than 34 times as the company received Tk 6.84 billion against the public issue of Tk 200 million.

Its IPO subscription was supposed to begin on April 08, but was suspended following a writ petition filed with the High Court (HC) by National Bank Limited (NBL).

The NBL filed the writ petition as four directors of the company were 'loan defaulters' as the guarantors of loans disbursed by the bank.

Later, the HC withdrew its stay order as the Indo-Bangla Pharmaceuticals and NBL reached a solution regarding the loan issue.

As per the financial statement for the year ended on June 30, 2016, the company's net asset value (NAV) per share and earnings per share (EPS) are Tk 11.63 and Tk 2.62 respectively.

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