BF Biosciences Limited has planned to raise approximately Rs 1.37 billion through an Initial Public Offering (IPO) as it applied for listing on the Main Board of the Pakistan Stock Exchange (PSX).
According to a notice issued by the PSX on its website, the IPO will consist of 25 million ordinary shares, which constitutes 28.3% of the total post-IPO paid-up capital of the company, with a par value of PKR 3 each.
Arif Habib Limited is the lead manager for the issue.
The entire Issue will be offered through the Book Building Method at a Floor Price of PKR 55 per share (including the premium of PKR 52.00/- per share) with a maximum price band of up to 40%.
The bidders shall be allowed to place bids for 100% of the Issue size and the Strike Price shall be the price at which the 100% of the Issue is subscribed.
However, the successful bidders shall be provisionally allotted only 75% of the Issue size i.e. 18,750,000 shares and the remaining 25% i.e. 6,250,000 shares shall be offered to the retail investors through the General Public portion.
The General Public portion of the Issue comprises of 6,250,000 ordinary shares (25% of the total issue) at the Strike Price. In case the retail portion of the Issue remains unsubscribed, the unsubscribed shares will be allotted to the successful Bidders of book building on a pro-rata basis.
The proceeds from the IPO will be utilised to:
- Purchase Plant and Machinery;
- Obtain Export related Certifications and New Product Development Including Glucagon-like Peptide (GLP1); and
- Purchase Raw and Packing Materials to Meet the Post Expansion Working Capital Needs
The PSX has placed the draft prospectus on its website under the section “Public Comments on Draft Prospectus of BF Biosciences Limited.” Stakeholders and the general public are invited to review the document and submit their written comments by August 15, 2024.
This step follows the guidelines set out in Circular No. 16 of 2023 issued by the Securities & Exchange Commission of Pakistan (SECP) on November 8, 2023. The draft prospectus provides detailed information about the IPO and the company’s plans.
BF Biosciences Limited was incorporated as an unlisted public limited company under the Companies Ordinance, 1984 (now Companies Act, 2017) in 2006, and operates within the pharmaceutical industry.
BFBL is a joint venture between Ferozsons Laboratories Limited and the Bagó Group of Argentina. The Company’s core operations involve the import, manufacturing, marketing and distribution of pharmaceutical products. BFBL distinguishes itself by producing life-saving medications that are accessible to all.
