Buoyed stock investors of Dhaka Stock Exchange (DSE) on Wednesday scrambled for shares in Walton Hi-Tech Industries even at its halted price.
The local electronics manufacturing giant made a flying trading debut as its share price jumped Tk126 or 50%, the highest allowable limit on debut trading.
The company’s shares halted as soon as the market opened at 10:00am as investors rushed to buy Walton shares. But no sale order was posted on the trading board till the end of the trading session.
Walton’s share reached Tk 378 each on the Dhaka bourse, soaring to 50%. Its offer price was Tk 252 each.
As per securities rules, on the first trading session, a 50% circuit breaker will be imposed on the issue price of the debutant company’s shares.
On the second trading session, the circuit breaker of 50% will be imposed on the reference price or first day’s closing price or on the adjusted open price. Circuit breaker regulation will be as usual, or 10% from the third trading session, adds the order.
As many as 348 shares in Walton were traded at the DSE. The market value of the traded shares was Tk1.32 lakh.
Buy orders were posted at Walton’s site from almost all brokerage houses and merchant banks operating in the capital.
“Today almost everybody sought to buy Walton’s share, but there was no seller,” an official of a brokerage house at Motijheel told Dhaka Tribune.
Walton Hi-Tech Industries made its debut trading on Wednesday on Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) under the ‘N’ category.
The company has raised Tk100 crore by offloading nearly 2.93 million ordinary shares under initial public offering (IPO) in the book building method.
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’.
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 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.
Authorized capital of Walton is Tk600 crore, while its paid-up capital is Tk300 crore.
