IPO subscription of Desh Insurance begins Sunday
Subscription of Index Agro to open Feb 22
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The IPO subscription of Desh General Insurance will open tomorrow (Sunday), aiming to raise Tk 160 million under the fixed price method.
The general insurer's initial public offering (IPO) subscription will be continued until February 18, officials said.
A market lot consists of 500 shares and a resident Bangladeshis investor needs Tk 5,000 to apply for each lot of the company's IPO shares.
Foreign currency required for non-resident Bangladeshi (NRB) and foreign applicants, (per lot) of US$ 59.39 or GBP 43.82 or EUR 49.42.
The stock market regulator- Bangladesh Securities and Exchange Commission (BSEC)- approved the insurer's IPO proposal on December 2, 2020.
As per the regulatory approval, the insurer will issue 16 million ordinary shares at an offer price of Tk 10 each under the fixed price method.
The general insurer will invest the IPO proceeds in the capital market, fixed deposits, treasury bonds and IPO related expenses.
According to the audited financial report for the year ending on 31 December, 2019, the earnings per share (EPS) of the company stood at Tk 1.36 while its net asset value (NAV) per share was Tk 11.62, without revaluation.
The Prime Finance Capital Management is working as the issue manager of the company's IPO process.
Currently, 49 insurance companies are listed with the capital market -both life and non-life insurance.
Index Agro Industries: IPO subscription of Index Agro Industries is set to open on 22 February and will continue until February 28, aiming to raise Tk 500 million under the book-building method.
A market lot consists of 100 shares and a resident Bangladeshis investor needs Tk 5,000 to apply for per lot of the company's IPO shares.
Foreign currency required for non-resident Bangladeshi (NRB) and foreign applicants, (per lot) of US$ 59.39 or GBP 43.51 or EUR 49.04.
Earlier the company completed electronic bidding and explored its cut- off price of shares - a requirement for going public under the book building method.
Its cut-off price was fixed at Tk 62 each through electronic bidding by eligible investors.
On 23 December last year, Index Agro received the nod from the stock market regulator to issue shares at Tk 50 each through an IPO, a 20 per cent discount on its cut-off price.
The company will use the IPO proceeds to acquire machinery and equipment, construction buildings and civil works, and cater expenditures for the IPO process.
According to the audited financial statement as of June 30, 2019, the company's weighted average earnings per share (EPS) for the past five years was Tk 7.07.
The company's net asset value (NAV) per share was Tk 45.03 with revaluation and Tk 44.06 without revaluation.
AFC Capital Ltd and EBL Investments Ltd are the issue managers for the company's IPO.
Incorporated in 2000, the principal activities of Index Agro Industries are manufacturing and marketing poultry feed, fish feed and producing day-old chicks.