Kattali Textile’s IPO subscription to open Aug 28

FE Online Report | Published: August 21, 2018 13:15:29 | Updated: August 25, 2018 10:40:28


The public subscription of Kattali Textile Ltd will open on August 28 which will raise a fund worth Tk 340 million from the capital market, officials said.

The initial public offering (IPO) subscription of the company will be continued till September 13 under fixed price method.

The securities regulator --- Bangladesh Securities and Exchange Commission (BSEC)-- approved the company’s IPO proposal on June 26.

The company will offload 34 million ordinary shares at an offer price of Tk 10 each to raise the said amount.

A market lot is 500 shares and an investor needs Tk 5,000 per lot to apply for the IPO.

The required amount (per lot) of foreign currency for NRBs and foreign applicants for IPO is US$ 60.25 or GBP 46.08 or EUR 51.96, according to Dhaka Stock Exchange (DSE).

The IPO fund will be utilised to construct building for factory and employees’ dormitory, purchase machinery for extended unit, install electric transformer and generator, repay bank loans and bear IPO expenses.

As per the financial statement for the year ended on June 30, 2017, the company’s net asset value (NAV), without revaluation, is Tk 20.48 per share. And the earnings per share (EPS) is Tk 1.98.

NRB Equity Management is working as the issue manager of the company’s IPO.

Kattali Textile is a production unit of Asian Group, established in 2002 with the aim to cater to world-class buyers and as such the facilities comply with all the latest requirements of structural, environmental, social and ethical standards, according to the company’s website.

-Babul/rmc

 

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