Associated Oxygen publishes IPO lottery results

The company to allot 15m shares among successful applicants

October 07, 2020 14:33:45

Associated Oxygen will allocate 15 million ordinary shares among the successful applicants as the company held IPO lottery draw on Wednesday.

The lottery draw was held at 10:30am at Crystal Ballroom, Hotel Intercontinental in Dhaka, officials said.

The lottery results have been published on the websites of the company, issue manager, Dhaka Stock Exchange and Chittagong Stock Exchange.

The company’s IPO (Initial Public Offering) oversubscribed by 31.46 times as the company received worth about Tk 4.72 billion against public issue of IPO of Tk 150 million, according to a disclosure posted on the Chittagong Stock Exchange (CSE) website on Monday.

Earlier on July 16, the stock market regulator – Bangladesh Securities and Exchange Commission (BSEC) approved the company’s proposal to raise Tk 150 million from the capital market through initial public offering.

As per the BSEC approval, the company floated 15 million ordinary shares with an offer price of Tk 10 each using the fixed price method.

The IPO subscription for shares of the company by the eligible investors through an electronic subscription system was held between September 10 and September 16.

The IPO proceeds will be used for construction of store and new plant shed, acquisition of new plant and machinery, repay bank loans and IPO related expenses.

According to the audited financial report for the year ended on June 30, 2019, the weighted average earnings per share of the company in the last five years stood at Tk 1.51. And, its net asset value (NAV) per share was at Tk 17.37 without revaluation.

BD Finance Capital Holdings Ltd is working as the issue manager of the company’s IPO process.

Started commercial operation in 1992, the Associated Oxygen is one of the leading producers and suppliers of industrial gases both in liquid and gaseous forms with a well-established business relationship with their clients over the last three decades in this business.

The company supplies Oxygen and Nitrogen in liquid and gaseous forms to Industries and Hospitals through its own sales network.



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