May 08, 2024 (MLN): Fast Cables Limited's Initial Public Offering (IPO) book-building phase will start from May 15, 2024, to May 16, 2024 (both days inclusive) to raise at least Rs 3billion, AKD Securities, Lead Manager and the Book Runner of the Book Building informed today during the Analyst Briefing of the company.
This issue consists of 128 million Ordinary Shares equivalent to 20.35% of the total Post-IPO Paid Up Capital of Fast Cables Limited of face value of Rs10/- each.
The issue will be presented through the Book Building method at a Floor Price of Rs23.5 per share including a premium of Rs13.5/- per share with a maximum price band of up to 40% i.e., Rs32.9 per share.
The Bidders in Book Building shall 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., 96m shares and the remaining 25% i.e., 32m shares shall be offered to the Retail Investors through the General Public portion.
The principal purpose of the issue is to invest in capacity enhancement, specifically in buildings, plants, and machinery. Additionally, a portion of the funds will be allocated towards repaying loans taken for building construction and machinery imported.
New land will be acquired for the above-mentioned purpose, buildings will be constructed and new plant & machinery with advanced technology will be installed.
The newly added capacity will be utilized for the manufacturing of the existing product portfolio, which includes copper and aluminium products. Additionally, this increased capacity will cater to the production of special cables tailored to the specific requirements of customers who place customized orders.
Fast Cables is a preeminent local manufacturer of top-quality electrical cables and conductors in Pakistan, having an annual production capacity of copper products of 8,400 metric tons while for aluminium products 13,800 metric tonnes.
The company has two manufacturing plants in Lahore which are equipped with state-of-the-art technology along with excellent quality assurance systems. Unit – I is located at 7-Canal Bank Main Jallo Road, Harbans Pura, Lahore whereas Unit – II is located at Bahi kot, Dars Road, Tehsil-Raiwind, District Lahore.
It is also a pioneer of Catenary Continuous Vulcanization (CCV) Line Technology1 & Aluminum Alloy plant2 in Pakistan. Through this cutting-edge technology of the CCV line, the lifespan of the product is endowed with an impressive longevity of over four decades, ensuring unparalleled durability and reliability.
It also ensures that the insulation has no eccentricity and steadfast uniformity is ensured across all products as the manufacturing processes are controlled by the system.
Fast Cables has broken new ground in the cable manufacturing industry in Pakistan by becoming the trailblazer in producing Greeley Conductor, and further elevating their standing by obtaining the coveted type test certification from the prestigious testing laboratory of VEIKI-VNL Electric Large Laboratories Ltd. located in Budapest, Hungary for conductors.
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Posted on: 2024-05-08T16:31:20+05:00
