Nialco Alloys to debut on CSE on 10 Jun
Each share will have a face value of Tk10
Nialco Alloys Limited will make its debut on the small and medium-sized enterprises (SME) board of the Chittagong Stock Exchange (CSE) on 10 June.
On 1 June, the company's primary shares were credited to the beneficiary owner (BO) accounts of the qualified investors.
Qualified investors will have to inform the CSE through brokerage firms before participating in the SME platform.
Keep updated, follow The Business Standard's Google news channel
The company completed a qualified investor offer (QIO) subscription from 16 to 20 May.
A total of 309 qualified investors applied for the company's shares to the tune of Tk134.39 crore, but they will get shares of around Tk7.5 crore. The company was thus oversubscribed 17.9 times.
On 15 April, Bangladesh Securities and Exchange Commission approved Nialco Alloys to raise Tk7.5 crore through the SME platform of CSE.
Each share of the company will have a face value of Tk10.
Nialco Alloys manufactures high-grade bronze and brass ingots.
It plans to spend Tk4.86 crore on manufacturing plants and machinery and Tk2.56 crore on land development.
MTB Capital, a sister concern of Mutual Trust Bank, is the issue manager of Nialco Alloys.
According to the company's financial statement, in the July-September quarter of 2020, its revenue was Tk20.56 crore and net profit was Tk1.39 crore.
During this period, its earnings per share stood at Tk0.91 and net asset value per share, excluding revaluation reserve, was Tk12.43.
Nialco is a 100% export-oriented company and the demand for copper products is increasing globally.
The company has a good supply of raw materials because the government policy favours this sector.
Most of its products are exported as raw materials to different countries, especially Japan and Korea.
The company has no major competitor in the country.
