SE Fruits and Vegetable IPO Fully Subscribed Within Two Hours
Strong institutional and high-net-worth investor demand drives early subscription as bidding continues until September 22.
SE Fruits and Vegetable Limited’s IPO book-building portion is fully subscribed within two hours.
KARACHI, September 21: The book-building portion of SE Fruits and Vegetable Limited’s initial public offering (IPO) was fully subscribed within two hours of opening on Monday, according to the company.
The response reflects strong interest from institutional and high-net-worth investors in the export-oriented, Shariah-compliant company.
Bidding will continue until September 22. The final strike price will be determined after the completion of the book-building process.
Company Offers 30 Million Shares
SE Fruits and Vegetable Limited is offering 30 million ordinary shares. The issue represents 32.01% of the company’s post-IPO paid-up capital.
The IPO carries a floor price of Rs40 per share. Based on investor demand, the strike price can rise by up to 60% to a maximum of Rs64 per share.
At the floor price, the company will raise at least Rs1.20 billion. If the strike price reaches Rs64, total proceeds could rise to Rs1.92 billion.
General Public Portion Opens September 28
Under the IPO structure, 22.5 million shares, or 75% of the issue, are being offered through book building.
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The remaining 7.5 million shares, representing 25% of the issue, will be offered to the general public on September 28 and 29.
Topline Securities Limited and Growth Securities Limited are serving as joint lead managers for the issue.
IPO Proceeds to Support Expansion
The company plans to use the IPO proceeds mainly to strengthen its working capital.
Additional funds will support larger seasonal procurement and higher processing volumes. The company also aims to use the capital to meet growing international demand and increase export revenue.
Based in Sargodha, SE Fruits and Vegetable Limited previously operated under the name Shaheen Enterprises.
The company has nearly three decades of operating experience. Its export portfolio includes kinnow, mangoes, potatoes and other agricultural products.
SE Fruits and Vegetable Limited currently exports to more than 22 countries.
