Techno Drugs to raise Tk 1b through IPO

Business Report :
Techno Drugs, a manufacturer of veterinary and oncology medicine, will raise Tk 1 billion from the capital market for the purpose of business expansion and repaying partial loans.

The Bangladesh Securities and Exchange Commission (BSEC) on Thursday approved the company’s proposal of floating IPO (initial public offering) under the book-building method.

The company’s shares will be issued to eligible investors at the cut-off price to be determined at electronic bidding.

As per the regulatory approval, general investors will get shares at a 30 per cent discount on the cut-off price.

The company has reported its NAV (net asset value) per share with a revaluation surplus of Tk 27.78 and the value stands at Tk 22.57 without a revaluation surplus for FY23.

For the same fiscal year, the company’s earnings per share (EPS) was Tk 2.08, and the weighted average of the EPS for the last five years was Tk 3.25.

Following an increasing demand for oncology medicines, Techno Drugs started the production of anti-cancer medicines in 2010. The company also manufactures veterinary medicines.

Imperial Capital and EBL Investments are working as issue managers for Techno Drugs.