Craftsman Footwear’s QIO subscription opens 21 April

The subscription of a qualified investor offer (QIO) by Craftsman Footwear will open on 21 April and continue till 25 April.

Earlier, on 14 February, the shoe manufacturer received approval from the stock market regulator to raise Tk5 crore through QIO within the SME platform of the Dhaka Stock Exchange (DSE).

Craftsman's Founder and Managing Director Sadat Hossain Salim said the funds raised through the QIO will be allocated for Balancing, Modernisation, Rehabilitation and Expansion (BMRE) of the factory.  

The company will also utilise the fund for bank loans repayment and efficient working capital management. 

"This strategic investment will enable us to introduce high-quality new products, thereby attracting more foreign buyers. Ultimately, this initiative will not only bolster remittance inflow but also instil confidence among our investors," he said.

As per the Bangladesh Securities and Exchange Commission approval, the company will issue 50 lakh shares at a face value of Tk10 each. 

However, the company will not be able to declare any stock dividends for three years from its stock market listing.

Green Delta Capital Ltd is acting as the issue manager to bring the company to the capital market.

In 2017, Craftsman started operation as a shoe manufacturer and exporter with only 35 employees at a small factory unit in Joina Bazar of Shreepur, Gazipur. 

Now, the company has a state-of-the-art manufacturing facility with a 1,00,000-square-foot factory and over 800 manpower.

Craftsman Shoes has been able to create a ground both on the local market as well as online platform. Shoes for local sales are produced at a separate unit.

In the fiscal year 2022-23, the company reported footwear exports amounting to Tk71 crore, while its local sales reached Tk2.20 crore.

The net profit of the company was Tk4.27 crore in the last fiscal year.