The Financial Express

Mir Akhter’s share bidding now begins Oct 4

The company to raise Tk 1.25b from capital market

| Updated: September 23, 2020 11:01:47

Mir Akhter’s share bidding now begins Oct 4

The bidding for eligible investors (EIs) to fix the cut-off price of shares of Mir Akhter Hossain Ltd, a construction company, will now commence from October 4 at 5:00pm as the company revised the bidding schedule.

The construction and engineering company’s price bidding through electronic subscription system (ESS) of the exchanges will be continued until 5:00pm on October 7, according to an official disclosure on Monday.

Earlier, the company’s share bidding was scheduled to open on September 27 at 5:00pm and continued until September 30 at 5:00pm.

“As per request of the company, the revised bidding period for eligible investors to determine the cut-off price of shares of Mir Akhter Hossain through ESS of the exchanges will commence from 5:00pm on October 4 and will continue till 5:00pm on October 07 (round the clock),” according to the disclosure.

The valuation report submission period for eligible investors through the electronic subscription system will start at 10:30am on October 8 and continue until 10:30am on October 12, said the disclosure.

Only the eligible investors can participate to explore the cut-off price of the company’s shares under the electronic bidding process.

Each eligible investor who intends to participate in the electronic bidding for the company’s shares shall maintain a minimum investment of Tk 10 million in listed securities as on the end of September 17 as per the Bangladesh Securities and Exchange Commission (Public Issue) Rules, 2015.

The minimum tick size (minimum bidding value) for bidding shall be Tk 5.0 million which is according to the BSEC consent letter to Mir Akhter Hossain dated August 23, according to the disclosure.

The stock market regulator allowed Mir Akhter Hossain to explore its cut-off price on August 13 - a requirement for going public under the book building method.

As per the regulatory approval, the company will raise a capital worth Tk 1.25 billion from the capital market for expanding its business.

The company will use the raised fund to buy construction equipment and machineries, repay bank loans and expenses for the IPO process.

The eligible investors will get 50 per cent shares at the cut-off price which will be set through electronic bidding.

The remaining 50 per cent shares will be opened to the IPO participants, including general investors and non-resident Bangladeshis, at a 10 per cent discount on the cut-off price, according to the book-building method.

Book building is a process through which an issuer attempts to determine the price to offer for its security based on demand from eligible institutional investors.

As per the audited financial statement, as of June 30, 2019, the company’s earnings per share was Tk 6.32, net asset value per share Tk 34.71, including re-evaluated reserve and Tk 33.63 excluding re-evaluated reserve.

Besides, the company’s weighted average earnings per share was Tk 6.21.

IDLC Investments is the issue manager for the company’s IPO.

Mir Akhter Hossain Ltd, which started journey in the field of construction industry in 1968, has over fifty years of experience with a proven track record in the construction industry of Bangladesh.

The company continues to hold a unique place in the country’s engineering and construction sector with operations in projects like construction of roads, bridges, highways, railway tracks, airports, discharge channels, civil construction of power plants, functional buildings, factory buildings and complex infrastructural projects, according to its website.


sepnil-desktop-ad-the-financial-express sepnil-mobile-ad-the-financial-express

Share if you like