Select Technologies IPO Demand Exceeds by 73%

The public offering of Select Technologies Limited was oversubscribed 1.73 times, with investors applying for 38.43 million shares against the 22.22 million shares offered, according to tentative subscription figures submitted to the Pakistan Stock Exchange (PSX).

The IPO, which remained open for public subscription on July 2 and 3, received 12,186 applications for shares worth Rs. 1.31 billion, reflecting strong retail investor interest in the consumer electronics manufacturer.

According to the subscription summary, applications for 500, 1,000, 1,500, and 2,000 shares will receive full allotment. Investors who applied for more than 2,000 shares will receive shares on a pro rata basis due to excess demand.

The largest interest came from investors applying for more than 2,000 shares, with 1,214 applications seeking 25.38 million shares worth nearly Rs. 863 million. Meanwhile, the IPO received 3,391 applications for 500 shares, 3,350 applications for 1,000 shares, 912 applications for 1,500 shares, and 3,319 applications for 2,000 shares.

The subscription figures are tentative and were compiled by CDC Share Registrar Services Limited using applications submitted through the PSX and CDC eIPO platforms.

Earlier, the company’s book building phase was oversubscribed 3.2 times, with institutional investors discovering a strike price of Rs. 34 per share, above the floor price of Rs. 28.

Select Technologies, a wholly owned subsidiary of Air Link Communication Limited, manufactures smartphones, smart televisions, air conditioners, and other consumer appliances in Pakistan. The company plans to use the proceeds to expand its presence in higher margin consumer technology and home appliance segments.