Thursday, June 9, 2011

Softlogic opens for subscription today

Business figure Ashok Pathirage’s IT and retail business focused Softlogic Holdings’ Initial Public Offering (IPO) will officially open for subscription today.

Softlogic is offering 139 million shares to raise Rs.4.03 billion, each share priced at Rs.29. The issue will close on the day it is oversubscribed or on June 29, which ever the date earlier.

The minimum number of shares applied should be 500 and applications in excess of 500 shares should be in multiples of 100 shares.

According to the allotment structure, 20 percent of shares will be allotted to employees while 40 percent given to retail investors.

As per SEC regulations, 10 percent will be allotted to the unit trusts and the rest (30 percent) to non-retail investors.

According to Pathirage, about Rs.3 billion of IPO money will be used for short term debt settlement and the rest for long term commitments.

The company did a private placement about one and half years back at Rs.72 each share, which was later subdivided into 10, making the price of a share Rs.7.20.

source - www.dailymirror.lk

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