Silva Pharma to allocate 30 million IPO shares

Holds lottery draw

FE Report | Published: August 31, 2018 16:15:14

Silva Pharmaceuticals is set to allocate 30 million ordinary shares among successful applicants as the company's IPO lottery draw was held on Thursday.

The event was held at the auditorium of the Institution of Engineers Bangladesh (IEB) in Dhaka.

The result has been published on the websites of Dhaka Stock Exchange (DSE), Chittagong Stock Exchange (CSE), issue managers and the company.

The Silva Pharma raised a capital worth Tk 300 million by issuing 30 million ordinary shares at an offer price of Tk 10 each under the fixed price method.

The IPO subscription of the company was opened on July 29. It continued until August 05, according to the Dhaka Stock Exchange (DSE).

The company's IPO was oversubscribed by more than 25 times as the company received about Tk 7.73 billion against the IPO issue of Tk 300 million.

The securities regulator, Bangladesh Securities and Exchange Commission (BSEC), approved the IPO proposal of the company on June 11.

The pharmaceutical company will purchase machinery, construct building, repay bank loans and bear the IPO expenses with the fund raised from the public.

The company reported net asset value (NAV) of Tk 16.48 per share, (without revaluation)), weighted average earnings per share (EPS) of Tk 1.03 as per the financial statement for the year ended on June 30, 2017.

Prime Finance Capital Management, Imperial Capital and SBL Capital Management are working as managers to the issue.

The company is engaged in manufacturing and marketing of products in the categories of antibiotics, analgesics, anti diabetics, narcotics, anti-pyretic, etc, mainly for the local market, according to the IPO prospectus.


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