Public subscription of state-run Ashuganj Power Station Company Ltd will open tomorrow (Monday), aiming to raise Tk 1.0 billion.
The initial public offering (IPO) subscription will stay open for both resident and non-resident Bangladeshis until October 6 this year.
The company will raise the capital by issuing bond through IPO.
On July 2 last, the Bangladesh Securities and Exchange Commission (BSEC) approved the company’s proposal of raising a capital worth Tk 1.0 billion through issuing bond.
The characteristics of the bond will be non-convertible, fully redeemable and coupon bearing with a face value of Tk 5000 per unit. The tenure of the bond will be seven years.
The annual interests from the bonds will be minimum 8.5 per cent and maximum 10.5 per cent, payable every six months.
The state-run power generation company will raise the capital to bear the costs of land development, civil works, initial fuel, engineering and consultant service, and the purchase of vehicles.
As per the financial statement for the year ended on June 30, 2017 the company’s net asset value (NAV) is Tk 265.96 per share and weighted average of the earnings per share (EPS) of five years is Tk 10.63.
ICB Capital Management and BRAC EPL Investments are the issue managers of the bond to be issued by Ashuganj Power Station Company. The ICB Capital Management is also the trustee of the bond.
Ashuganj Power, the largest power plant of Bangladesh, now generates 1,690 megawatt.
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