Walton Hi-Tech Industries Limited will make its debut trading on Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) from Wednesday under the ‘N’ category.
According to an official disclosure, the DSE trading code for Walton Hi-Tech is ‘WALTONHIL’ and DSE company code is 13,248, while the CSE scrip ID is 16,041 and scrip code is ‘WALTONHIL’.
The company has raised Tk100 crore by offloading nearly 2.93 million ordinary shares under the initial public offering (IPO) in the book building method.
Out of Tk100 crore, Tk60.96 crore will be collected from eligible investors, and the remaining Tk39.03 crore from general investors.
The IPO was open for subscriptions from August 9-16.
According to another disclosure on Tuesday, as per unaudited Q3 financial statements, Walton's profit after tax was Tk1,55 crore and basic earnings per share (EPS) was Tk5.17 from January to March 2020, against profit after tax of Tk334 crore and basic EPS of Tk11.14 for the same period of the previous year.
However, Post-IPO basic EPS for the three months would be Tk5.12.
Moreover, profit after tax was Tk766 crore and basic EPS of Tk25.53 for the nine months (July 2019-March 2020) period ended on 31 March 2020 against profit after tax of Tk726 crore and basic EPS of Tk24.22 for the same period of the previous year.
At the end of the bidding process, with a proposed rate between Tk765 and Tk12, the cut-off price was set at Tk315 for institutional investors, while the price for general investors was fixed at Tk252 per share.
Under the Book Building Method, general investors are privileged to get at least 10% discount. In the Walton case, the Bangladesh Securities and Exchange Commission (BSEC) allowed a 20% discount following a request from the company.
Earlier on June 23, the BSEC approved the IPO proposal of Walton Hi-Tech to raise funds to the tune of Tk100 crore by issuing nearly 2.93 million ordinary shares.
According to Walton’s audited financial statement for the year ended June 30, 2019, the company’s net asset value per share and weighted average earnings per share were Tk243.16 and Tk28.42 respectively.
The authorized capital of Walton is Tk600 crore, while its paid-up capital is Tk300 crore.
AAA Finance and Investment Ltd is acting as the issue manager of the company’s IPO.
