Robi Axiata, the country's second largest telecom operator, will revise its initial public offering (IPO) proceeds utilisation plan and extension of project completion time frame.
In this regard, the board of directors of the telecom operator has decided to hold an extraordinary general meeting (EGM) for approval from general shareholders, the company said in a filing with the Dhaka Stock Exchange (DSE) on Thursday.
The EGM will be held on January 24, 2022 at 3:00pm through a hybrid system. The record date is set on December 30, 2021.
Robi Axiata, which issued roughly 523 million ordinary shares with par value of Tk 10 each and raised a fund worth more than Tk 5.23 billion from a wide range of investors including own employees, commenced its share trading on December 24, 2020.
Out of more than Tk 5.23 billion of IPO proceeds, the Robi has utilised over Tk 4.38 billion in network expansion and Tk 75.73 million in IPO expenses, which is 85.23 per cent of total IPO proceeds as of September 30, 2021, according to Chittagong Stock Exchange (CSE) data.
As per the IPO prospectus, the company intended to utilise over Tk 5.15 billion in network expansion and Tk 80.2 million in IPO related expenses.
The telecom operator was supposed to utilise the proceeds within six months of obtaining IPO funds as per the IPO prospectus.
Earlier on August 16, Robi Axiata requested the stock market regulator for approval of amendment of IPO proceeds utilisation plan and to extend the timeframe until June 30, 2022.
The Bangladesh Securities and Exchange Commission (BSEC) has recently allowed the company to revise its plan for the utilisation of IPO proceeds.
Each share of the Robi closed at Tk 38.90 on Thursday, gaining 0.26 per cent over the previous day. Its shares traded between Tk 15 and 77.10 in the last one year.
The company has reported consolidated earnings per share (EPS) of Tk 0.17 for July-September 2021 as against Tk 0.08 for July-September 2020.
The company's nine months consolidated EPS was Tk 0.32 for January-September 2021 as against Tk 0.25 for January-September 2020.
The company's paid-up capital is Tk 52.37 billion and authorised capital is Tk 60 billion, while the total number of securities is 52.37 million.
The sponsor-directors own 90 per cent stake in the company, while institutional investors own 1.74 per cent, foreign investors 0.02 per cent and the general public 8.24 per cent as on October 31, 2021, the DSE data showed.