The Bangladesh Securities and Exchange Commission (BSEC) on Tuesday approved Walton Hi-Tech Industries Limited to discover the cut-off price of its shares by the book building method for raising Tk100 crore from the capital markets through an initial public offering.
The commission gave the approval at a meeting presided over by its chairman M Khairul Hossain.
With the participation of institutional investors, the selling price of the company’s shares will be fixed through the bidding process.
The local electronic giant Walton will use the initial public offering (IPO) proceeds to expand business, return bank loans, and meet IPO expenses.
According to the entity’s audited financial statements for the year ending June 30, 2019, the company’s net asset value per share and weighted average earnings per share were Tk243.16 and Tk28.42 respectively.
AAA Finance and Investment Ltd acts as the issue manager of the company’s IPO.
Walton has been targeting to expand its international market and flourish as a multi-national brand though exporting high quality 'Made in Bangladesh' products.
Walton High-tech Industries has achieved admiration at home and abroad for producing world-class refrigerators, freezers, and air conditioners. The company has set a target of earning $1 billion by 2028 through exports.
The authorized capital of the company is Tk600 crore, while the paid-up capital is Tk300 crore.
Islamic Finance’s Bond of Tk300 crore
The commission at its meeting also approved a non-convertible mudaraba subordinated bond of Tk300 crore in favour of Islamic Finance and Investment Limited.
The purpose of the issue is to expand business and return loans of the company. The tenure of the bond is seven years. Per unit price of the bond will be Tk25 lakh.
The commission also approved “The Cybersecurity Guidelines for Capital market in Bangladesh”.
