BSEC approves Tk 1.50b IPO of Ring Shine Textiles

FE Online Report | Published: March 12, 2019 17:49:51 | Updated: March 14, 2019 10:42:09

The securities regulator has approved the initial public offering (IPO) proposal of Ring Shine Textiles to raise a capital worth Tk 1.50 billion from the capital market.

The Bangladesh Securities and Exchange Commission (BSEC) approved the company’s IPO proposal at a commission meeting held in Dhaka on Tuesday.

BSEC Chairman M Khairul Hossain presided over the meeting, according to a press release.

As per the BSEC approval - under the fixed price method - Ring Shine Textiles will float 150 million ordinary shares at an offer price of Tk 10 each.

The company will utilise the IPO proceeds for purchasing machinery and equipment, repay bank loans, and bearing the IPO expenses.

According to the financial statement ended on June 30, 2018, the company's net asset value (NAV) per share (without revaluation) was Tk 23.17 and the weighted average earnings per share (EPS) stood at Tk 1.86.

AFC Capital Limited and CAPM Advisory Limited will jointly act as the issue manager for the IPO process.

After completing all the procedures, Ring Shine Textiles will be the 54th listed company in the ‘Textile’ sector in the Dhaka Stock Exchange.

Established in 1998, Ring Shine Textiles is one of the largest fully integrated textile companies in Bangladesh with a dominant presence in the cotton and polyester segments.

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