Pak-Qatar General Takaful Limited (PQGTL) recently concluded its initial public offering (IPO) book-building process, achieving a remarkable 21 times oversubscription. This event signifies a historic milestone, marking the first-ever Pak-Qatar Takaful IPO of a dedicated general takaful company on the Pakistan Stock Exchange (PSX). Investors showed robust confidence in the offering, reflecting the growing potential of Islamic finance in Pakistan.
Historic Oversubscription Signals Strong Investor Confidence
Throughout the book-building phase, investor interest remained exceptionally strong. Consequently, the strike price settled at Rs. 14 per share, significantly exceeding the floor price of Rs. 10. The total demand for PQGTL’s offering soared to an impressive Rs. 4.74 billion, underscoring a robust market appetite for the company’s shares. This overwhelming response highlights the increasing appeal of Sharia-compliant investment opportunities.
Allotment Details and Future Offerings
Following the successful book-building, institutional investors and high-net-worth bidders will receive a provisional allotment of 22.5 million shares. Furthermore, the remaining 7.5 million shares are slated for retail investors, with the offering scheduled for January 28 and 29. This phased allotment ensures broad participation in PQGTL’s equity.
Shahid Ali Habib, CEO of Arif Habib Limited and lead manager for the issue, commented on this significant development. He stated that the country’s inaugural IPO for a dedicated general takaful company made a historic debut on the PSX. This success, therefore, strongly indicates investor confidence in Pakistan’s rapidly expanding takaful sector and PQGTL’s strategic market position.
Strategic Growth Fueled by Pak-Qatar Takaful IPO Proceeds
The capital generated from the Pak-Qatar Takaful IPO will strategically support PQGTL’s future growth initiatives. Specifically, these funds will be channeled into key areas. For instance, planned investments include enhancing software and other intangible assets, upgrading hardware and infrastructure, and boosting marketing and brand development efforts. Additionally, the company aims to improve human resources, expand its reach with new branches, and transform existing branches to optimize operational efficiency and elevate customer experience. Ultimately, these investments are set to solidify PQGTL’s leadership in the takaful market.
