Investors should venture their way into the share market by funding into IPOs. The company that might get listed under the stock exchange can be a new, junior enterprise or a big mature firm.
You should invest in those companies whose financial status is stable and can land decent money in your pocket. IPO purchase can be brief or a pro-longed investment.
Impact on IPOs, 2020
The coronavirus outbreak greatly affected the IPO business worldwide. While Bangladesh is setting its feet in the IPO sector, 2020 has not been quite welcoming.
The Bangladesh Securities and exchange commission (BSEC) was recommended to investigate the companies before approving them for IPO. The Dhaka Stock Exchange (DSE) Council members advised the BSEC to re-audit the new IPOs by an experienced auditor.
The market climbed the graph, and activities resumed from this fall. BSEC has approved certain huge IPOs for the year 2020. The Major Upcoming IPOs are enlisted below-
1. Robi Axiata Limited
The Bangladesh Securities and Exchange Commission (BSEC) confirmed the launch of Robi Axiata Ltd in the stock market. It is among the country’s biggest IPO investments so far. Robi stands as the second-largest administrator and would utilize the IPO capital to grow the public interface.
Robi would publish 52.3 crores shares into the market, which would account for Tk 523.7 crores. This company would surpass the Grameenphone’s 2009 flotation of TK 486 crores to become Bangladesh’s biggest IPO.
2. Dominage Steel Building Systems Limited
The company primarily focuses on the manufacturing of Pre-Engineered Steel Building design and to deliver excellent architectural services. It also works to create new machines to elevate the production pace according to the client’s demands.
This is a small steel base building company dealing in local production and construction of commercial buildings and factories and the manufacture and development of steel products.
The pre-IPO capital sums around 650,000,000 BDT, and the IPO size at the proposal price is BDT 300,000,000. The Face Value and Offer price per share hold the same at BDT 10.00.
3. Associated Oxygen Limited
The company manufactures welding equipment and tools and supplies medical and industrial gases. AOL has updated its facilities in the compression of industrial nitrogen and supply of both oxygen and nitrogen to Hospitals in a couple of forms.
AOL is offering 15,000,000 shares to the public by September 10. The total stock capital ranges to Tk 5,010, which accounts for TK 10 per share. At the market price, the minimum investment is Tk 10,000,000.
They do have an IPO membership club for automated IPO registration.
4. eGeneration Limited
eGeneration is one of the first successful software solutions and system integration companies in Bangladesh. Their main aim is to modify Bangladesh into a high-tech country.
The company is set to raise a fund of Tk 150,000,000 with Tk 10 for each offer price. The total underwritten amount collects up to 20,000,000 Tk. More investment in eGeneration IPO would increase the public interest in software development companies.
This company comes in handy when you have to make some bookings at the 11th hour. With Airbnb, various hotels, hostels, and Rooms can be rented easily.
The global covid19 outbreak resulted in the obstruction of travel across nations. This impacted the Airbnb IPO sales. On August 19, 2020, the company filed the paperwork to become a public IPO in 2020.
Investing in IPO is tricky but always research before trading your money into shares. It’s better to have some information rather than having a clean slate. Bangladesh Stock Exchange will soon take the lead when these major IPOs hit the market.