Walton Hi-Tech Industries will raise a capital worth Tk 1.0 billion under book building method to expand business and repay bank loans.
The Bangladesh Securities and Exchange Commission (BSEC) on Tuesday approved the company's proposal on fixing cut-off price.
Under the book building method, institutional investors get shares at cut-off price while general investors get shares at 10 per cent discount on this price.
Walton Hi-Tech Industries is the manufacturer of multi-staged refrigerator, freezer, air conditioner, television and motorcycles.
Apart from business expansion and loan repayment, the company's IPO (initial public offering) fund will be used to bear the cost of public offering process.
As per the financial statement for the year ended on June 30, 2019 the company's net asset value (NAV) with revaluation reserve is Tk 243.16 per share, while the NAV without revaluation reserve stood at Tk 138.53 per share.
For same period, the company's earnings per share (EPS) is Tk 28.42 as per weighted average calculated after tax.
AAA Finance and Investment is the issue manager of the Walton Hi-Tech Industries.
At Tuesday's meeting, the securities regulator also approved the proposal of Tk 3.0 billion subordinated bond to be issued by Islamic Finance & Investment Limited (IFIL).
The tenure of the non-convertible mudaraba subordinated bond will be seven years.
The bond will be issued to different banks, corporate entities, insurance companies, financial institutes and other eligible investors through private placements.
The offer price of the IFIL's bond will be Tk 2.5 million per unit.
Besides, the securities regulator on Tuesday approved the cyber security guidelines for capital market in Bangladesh.