SE Fruits and Vegetable IPO book-building subscribed in two hours

Business Recorder reported that the book-building segment of SE Fruits and Vegetable Limited's IPO was fully taken up within two hours of opening on Monday. Bids will stay open until September 22, and the closing strike price will be set once that process ends, a company statement said. Of the 30 million ordinary shares on offer, 22.5 million, or 75 percent, are being allocated through book building, with the balance reserved for the public.

The company is selling 30 million shares, equal to 32.01 percent of its post-offering paid-up capital. The floor price stands at Rs40 a share, and depending on investor demand the strike price could climb by up to 60 percent to Rs64. At the floor, proceeds would be at least Rs1.20 billion, rising to as much as Rs1.92 billion if the top price is reached.

Topline Securities Limited and Growth Securities Limited are joint lead managers for the issue. The proceeds will mainly bolster working capital, enabling larger seasonal purchases, higher processing volumes and greater export earnings. Based in Sargodha and formerly known as Shaheen Enterprises, the company has nearly three decades of history and ships kinnow, mangoes, potatoes and other produce to over 22 countries.