The Bangladesh Securities and Exchange Commission (BSEC) has approved Royal Footwear PLC’s proposal to raise Tk12 crore through an Initial Qualified Investor Offer (IQIO), marking the first such approval under the commission led by the new Chairman Masud Khan.
The approval was granted at the regulator’s 1,020th commission meeting on Tuesday.
Royal Footwear will issue 1.2 crore ordinary shares with a face value of Tk10 each to qualified investors.
According to BSEC, the 100 per cent export-oriented footwear manufacturer will use the proceeds to repay bank loans, purchase raw materials and spare parts, and meet expenses related to the IQIO.
The company supplies footwear to several overseas markets, including US footwear company ROSS.
Based on its audited financial statements, Royal Footwear’s net asset value (NAV) stood at Tk27.54 per share with revaluation and Tk15.74 without revaluation as of December 31, 2025. Its half-year earnings per share was Tk0.82.
Prime Bank Investment PLC is the issue manager, while the merchant bank, alongside EC Securities Limited, will be the underwriters for the offering.
Underwriters guarantee the issuer that they will buy out the unsubscribed shares, and they earn some fees against the service.
