Business

Ex-pack IPO oversubscribed

The initial public offering (IPO) of Ex-pack Corrugated Cartons Ltd.’s Rs. 700 million was oversubscribed within minutes of opening day, last Friday (22).

In a notice to the Colombo Stock Exchange (CSE), the corrugated cartons company’s Registrar stated that the issue was closed at 4.30 p.m. and the basis of allotment is to be notified shortly thereafter.

The co-managers to the issue, Capital Alliance and Asia Securities, commented that there was exceptional interest in the IPO from the very beginning and that it has drawn active interest from a range of investors, both individuals and institutions. Funds raised by the IPO would go towards a Rs. 3 billion ultra-modern production facility, which is expected to raise monthly volumes from the current 2,650 metric tonnes (MT) to 4,000 MT by 2025. The company remains resolutely committed to delivering exceptional value to its investors, customers, people, communities, and other stakeholders.

Following the controversy that arose by Ex-pack claiming that they are the market leaders in the corrugated cartons industry, Ex-pack agreed to be considered as “one of the largest” in their prospectus.