LAHORE: In a bourse notification filed Friday by Muslim Commercial Bank (MCB) disclosed that Matco Foods book-building was over-subscribed by 1.044 times.
MCB said the book-building process had concluded on 24th January at a strike price of Rs26 per share and participation of 30,418,770 against a total issue size of 29,143,000 was witnessed, resulting in over-subscription of 1.044 times. Also, the notification read over 59 investors participated in the book-building process of Matco Foods and 58 were deemed successful.
Earlier in January, it was reported Matco Foods Limited, one of the country’s leading basmati rice exporters, was planning to raise Rs758 million from listing on the Pakistan Stock Exchange.
The initial public offering (IPO), initially planned for September 2017 got delayed due to prolonged political turbulence and uncertain economic conditions which plagued Pakistan during the second-half of the year.
Other companies such as Inbox Technologies also suspended its plan of holding an IPO in July, and Matco Foods will become the first company to get publicly listed on the stock exchange after a lull of eight months.
The company intended to issue 29.1 million shares at floor price of Rs26 per share. The proceeds from the IPO would be utilized to invest in two rice glucose plants at Port Qasim, Karachi. Matco will be offering 29.143 million shares which constitute 25 percent of the entire post-IPO paid up capital of the company.
Matco Foods is known for exporting 75 percent of its basmati rice abroad due to increased profit margins. Its basmati rice brand of Falak is considered the bestselling brand from Pakistan and exports its rice to over 60 countries globally.
It is one of Pakistan’s leading agri-business with over fifty-years of experience in the rice industry. It is operating over 5 processing plants and is considered among the country’s largest rice exporters.
The KSE-100 index at time of filing this report was trading at 44,482.22 points, down 334.49 points from close on Thursday.
