5:16 pm - Thursday May 24, 3083

Apollo Hospitals to raise Tk 75cr fund thru’ IPO

Under book-building method STS Holdings, which owns Apollo Hospitals Dhaka, will raise fund TK.75cr through Initial public offerings (IPO). Share price will be valued by institutional investors. Company would issue the volume of share.

In a road show held yesterday (4 April) in hotel Radisson Blue, STS holdings says above. dsedse

Merchant banks, asset management companies, stock dealers, banks, other financial institutions, insurance companies and alternative investment fund managers participated in the event.

Company says, it will set up a branch of its hospitals in port city, Chittagong. The construction work has already started. The cost of the project has been estimated at BDT 490cr.

The IPO proceeds of about BDT 75cr will be used as equity contribution to the Chittagong Hospital project. Within two or three years it would start providing services.

Of the rest, BDT 278cr will be arranged from IFC and DEG in the form of long-term debt and the rest BDT 137cr from internal sources.

R Basil, chief executive officer of the company, displayed the company’s fundamentals to the eligible institutional investors during the road show.

If the Bangladesh Securities and Exchange Commission approves the initial public offering, it will be the second listed hospital after Samorita Hospital, which entered into the stock market in 1997.

ICB Capital Management and AFC Capital are the issue managers of the IPO of STS Holdings.