Pakistan’s Xiaomi, Hisense Assembler Plans Rs. 2.489 Billion IPO

Select Technologies Limited, a wholly owned subsidiary of Air Link Communication Limited, has announced plans to raise Rs. 2.489 billion through an initial public offering (IPO) as the company seeks to expand its technology manufacturing operations in Pakistan.

The Securities and Exchange Commission of Pakistan and the Pakistan Stock Exchange have approved the issuance of 88.89 million ordinary shares, representing 10 percent of the company’s post IPO paid up capital. The offering will be conducted through the book building method.

Under the approved structure, 66.67 million shares, or 75 percent of the total offering, will be offered to institutional and eligible investors through book building at a floor price of Rs. 28 per share. The maximum price band has been set at 50 percent above the floor price, allowing bids up to Rs. 42 per share.

The remaining 22.22 million shares will be offered to retail investors at the strike price determined through the book-building process. The retail portion of the IPO has been fully underwritten.

Registration for eligible investors will begin on June 17 and continue until June 23, while the book-building process is scheduled for June 22 and June 23. Public subscription will take place on July 2 and July 3.

According to the company, the IPO proceeds will primarily be used to establish a new manufacturing facility at the Sundar Green Special Economic Zone in Lahore for the production and assembly of air conditioners. Funds will also be allocated to expand television manufacturing capacity, invest in smartphone production machinery, and support working capital requirements.

Select Technologies manufactures and assembles smartphones, smart televisions, air conditioners, and other consumer appliances for global brands including Xiaomi and Hisense. The company currently holds a 15.5 percent share of Pakistan’s smartphone assembly market and accounted for 7.7 percent of total mobile devices manufactured in the country during fiscal year 2025.

Following the planned expansion, the company expects its annual production capacity to reach 7 million smartphones, 360,000 televisions, and 400,000 air conditioner units. The new facility at Sundar Green Special Economic Zone is also expected to benefit from income tax exemptions through fiscal year 2035, supporting profitability and long term growth.

The IPO will be jointly managed by Arif Habib Limited and Intermarket Securities Limited, which are serving as consultants to the issue.