Mir Akhter IPO lottery to be held on 21 January
On 5 November last year, BSEC approved that the company raise Tk125 crore through an IPO
Mir Akhter Hossain Limited, one of the largest construction and engineering firms of the country, will hold its initial public offering (IPO) lottery on 21 January.
The IPO lottery of the company is due to be held at 11am at The Lakeshore Hotel, Dhaka, according to sources.
The company's IPO subscription was held between 24 December and 30 December last year under the book building method.
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On 5 November last year, the Bangladesh Securities and Exchange Commission (BSEC) approved that the company raise Tk125 crore through an IPO.
The company says it will use the money for business expansion, equipment purchases and repaying bank loans.
From the IPO fund, the company would use: Tk50.30 crore to purchase heavy equipment, Tk12.70 crore on an aggregate processing plant, Tk4.67 crore for an asphalt plant, Tk3.74 crore for a concrete batching plant, Tk10.08 crore for constructing a warehouse and workshop for equipment maintenance and refurbishment, and Tk40 crore for repaying bank loans.
On 13 August last year, the stock market regulator allowed the company to determine the cut-off price of its shares through bidding by eligible investors – a requirement for going public under the book-building method.
The cut-off price of the shares was fixed at Tk60 each after the bidding. General investors will get a 10% discount on the cut-off price to buy it at Tk54.
In the 2018-19 fiscal year, Mir Akhter's total revenue was Tk426.70 crore and the net profit was Tk63.24 crore. In the 2017-18 fiscal year, the company's profit stood at Tk61.87 crore.
According to the audited financial statements of Mir Akhter, as of 30 June, 2019, the company's weighted average earnings per share in the last five years was Tk6.21, and net asset value per share was Tk34.71, including re-evaluated reserves.
Established in 1968, Mir Akhter Hossain Ltd implements infrastructure development projects across the country including constructing: roads, bridges, highways, railroads, five-star hotels, power plants, and factories.
Mir Akhter is currently implementing 34 development projects and IDLC Investments is the company's issue manager.
