ACME Pesticides investors get minimum 40 IPO shares

A general investor will get minimum 40 initial public offering (IPO) shares of ACME Pesticides Limited against application of Tk 10,000.

Besides, non-residential Bangladeshis (NRBs) will get a minimum 63 shares of the company.

The Dhaka Stock Exchange (DSE) on Tuesday formally allocated the IPO shares of the company under the newly introduced pro-rata basis. Under the pro-rata method, the primary shares are allocated equally among the
applicants.

The company received 20.22 times more bid for its three crore shares put up on sale for general investors as part of its initial public offering to raise Tk 30 crore under the fixed price method.

The proceeds from IPO will be used in building factories, installing electrical machinery, purchasing new machinery, repaying bank loans and meeting IPO expenses.

Shahjalal Equity Management Limited is in charge of the company’s issue management in the IPO.

As per the company’s audited financial statements for the first quarter ended on September 30, 2020, its net asset value per share without revaluation and earnings per share were Tk 16.84 and Tk 0.48 respectively.

Bangladesh Securities and Exchange Commission (BSEC) had approved the IPO proposal of ACME Pesticides on July 19.

As per the regulatory approval, the company will not be allowed to issue bonus shares within four years from the date of its debut in share trading.