Dhaka, Bangladesh (BBN) – Initial Public Offering (IPO) subscription of BBS Cables, a sister concern of Bangladesh Building Systems, will begin on Tuesday, which will raise BDT 200 million from the public using the fixed price method.
The IPO subscription will continue till June 4 for resident and non-resident Bangladeshis.
The securities regulator – Bangladesh Securities and Exchange Commission (BSEC) – approved the IPO proposal of electric wires manufacturer company on April 13 to raise the said amount using the fixed price method.
As per the securities regulator’s approval, the company will float 20 million ordinary shares of BDT 10 each.
A market lot is 500 shares and an investor needs BDT 5,000 to apply for per lot of BBS Cables IPO.
The required amount (per lot) of foreign currency for NRBs and foreign applicants for IPO of the company are US$ 61.58 or GBP 47.99 or EUR 56.73, according to Dhaka Stock Exchange (DSE).
The company will use the IPO proceeds for acquisition of plant and machinery, partial repayment of bank loans and IPO expenses.
The company’s earnings per share (EPS) stood at BDT 2.46 and net asset value (NAV) without revaluation per share at BDT 16.87 in June last year.
Banco Finance and Investment and ICB Capital Management are jointly working as issue managers of the IPO.
Located at Sreepur in Gazipur, BBS Cables is equipped with state-of-the-art technology to manufacture and test all types of quality cables, wires and conductors.