Lahore-based Fast Cables Ltd. is gearing up to launch one of Pakistan’s largest share listings this month, aiming to raise a minimum of 3 billion rupees ($11 million) to bolster its production and put it among Pakistan\u2019s 10 biggest initial public offerings, according to a report by Bloomberg<\/p>\n
The country\u2019s largest power-cable manufacturer plans to conduct book building on May 15 and 16, Managing Director Kamal Mahmood Amjad Mian told the news agency.<\/p>\n
With a whopping 74% gain in the last year, Pakistan’s main stock index is now the best-performing market in the world in terms of dollars. Three companies that are currently in the process of listing on the exchange are proof that the development has sparked a resurgence in share sales.<\/p>\n
Following earlier elections and easy loan approval processes with the IMF, investor sentiment has increased, signaling a turnaround for a country that was on the verge of bankruptcy last summer.<\/p>\n
\u201cAt the macro level, there is some stability now. However, the market has a long way to go.\u201d Mian said in an interview.<\/p>\n
Fast Cables plans to issue 128 million shares at a floor price of 23.5 rupees each, with book building preceding a general public offering.<\/p>\n
With a track record of dividend payments, AKD Securities Ltd. complies with Shariah, according to Abadan Mohajir, head of investment banking.<\/p>\n
“When it won a contract for a crucial transmission line from a massive coal mine and power project in the Thar desert, Fast Cables was the only Pakistani company that faced off against Chinese companies,” said Mian.<\/p>\n
The Mian family founded the business in the 1980s with a strategic concentration on the power infrastructure industry, which has shown to be resilient to changes in the economy and has shown remarkable average annual growth rates of about 50% over the past five years. By 2030, the corporation hopes to have tripled its sales to approximately 100 billion rupees.<\/p>\n