11 companies raise Tk 849.30cr through IPOs in 2016
BSS
The primary share market was steady in 2016 with 11 companies offering IPOs (initial public offering) to go to public for sourcing necessary funds, according to information available from Dhaka Stock Exchange (DSE), reports BSS.
Out of the 11 companies, 10 offered shares under fixed price method - the most common way of offering IPOs for all kinds of investors. The rest one company offered IPO under book building method, by which an underwriter determines at what price to offer an IPO based on demand from institutional investors.
The 10 companies offered IPOs of Tk 439.70 crore under the fixed price method are: Dragon Sweater and Spinning (Tk 40 crore), Doreen Power Generation and System (Tk 58 crore), Bangladesh National Insurance
(Tk 17.70 crore), Evince Textiles (Tk 17 crore), Yeakin Polymer (Tk 20 crore), Fortune Shoes (Tk 22 crore), Pacific Denims (Tk 75 crore), Vanguard AML Rupali Bank Balance Fund (Tk 95 crore), CAPM BDBL Mutual Fund 01 (Tk 70 crore) and SEML IBBL Shariah Fund (Tk 25 crore).
Among the 10 IPOs, three are mutual funds.
The ACME Laboratories offered IPO of Tk 409.60 crore under the book building method this year.
Like previous years, the three companies -Summit Alliance Port Limited, GPH Ispat Limited and BD Thai Aluminium- raised fund from the capital market.
Last year 14 companies issued IPOs over Tk 700 crore from the similar purposes.
