KARACHI: Service Global Footwear Ltd (SGFL) the second company to seek listing at the stock market in the current calendar year raised Rs2.175 billion in the two-day book building.
The issue was offered at the floor price of Rs38 per share with a maximum price band of up to 40pc ie Rs53.20 per share.
Arif Habib Ltd, the lead manager and book runner for the IPO, said in a statement that the book building was over-subscribed by 5.8 times with price closing at the Rs53.20 per share.
The IPO proceeds would be used by the company for investment in Service Long March Tyres Ltd (SLM), which is the first all steel radial truck and bus (TBR) tyre manufacturing unit in Pakistan, being set up through a joint venture between Service Group and Chaoyang Long March of China.
Service Global plans IPO
March 17, 2021
KARACHI: Service Global Footwear Ltd., Pakistan’s largest shoe exporter, is planning an initial public offering in the domestic market to raise funds to invest in its parent’s tire joint venture, Bloomberg reported on Tuesday.
The Lahore-based company plans to raise at least Rs1.6 billion rupees by offering 41 million shares at a floor price of 38 rupees each, according to Shahid Ali Habib, chief executive officer at Arif Habib Ltd., the sole adviser to the IPO. The price could be boosted by as much as 40 percent, meaning Service Global Footwear could raise as much as $14 million, Habib said. The company is scheduled to start taking investor orders as soon as the last week of March, he added.