Second listing at PSX this month: TPL Trakker Limited issue oversubscribed by 14.6pc

KARACHI: In an exciting development for Pakistan's capital market, TPL Trakker Limited, a pure tech-based company, was listed on Pakistan Stock Exchange, wef, Monday, August 10, 2020.

A gong ceremony to mark the company's listing was held on Wednesday.

This is the second listing for the financial year 2020-21, which comes only five days after the successful listing of The Organic Meat Company Limited on the Pakistan Stock Exchange.

The gong striking ceremony was attended by Ahmed Chinoy and Muhammad Ashraf Bawany - Board Members of Pakistan Stock Exchange, Nadir Rahman - COO of Pakistan Stock Exchange, Sarwar Ali Khan - CEO of TPL Trakker Limited, Shahid Ali Habib - CEO of Arif Habib Limited (Consultant to the Issue), Muhammad Fakhar - Associate, Investment Banking at Habib Bank Limited (Corporate Advisor and Bankers to the Issue), senior management and other team members of these organisations.

In the greater interest and safety of the public and to avoid a large gathering of people, the gong ceremony was streamed digitally through virtual media channels.

TPL Trakker Limited went public by offering 58.3 million shares (Base Issue) at Rs 12 per share along with an additional 57.4 million shares (Green-Shoe Option) at Rs 12 per share from its Initial Public Offering (IPO) via the fixed price mechanism. The public offering took place on July 22 - July 23, 2020.

The public subscription was a success for TPL Trakker Limited as the issue of 58.3 million shares was oversubscribed by 14.6 percent or 1.15 times. A total of 1,488 applications were received for subscribing to 66.82 million shares, helping TPL Trakker to raise Rs 801.82 million from the IPO.

Interestingly, a majority of the applications were received through the EIPO system of the Central Depository Company which reflects a growing trend amongst the investors to file online applications of shares in an IPO.

TPL Trakker is Pakistan's leading Telematics Company providing IoT, Tracking, Mapping and Location Based Solutions. The Company has been offering its products and services since last two decades to the Pakistani public requiring vehicle tracking services. It has been a pioneer in introducing vehicle tracking services in Pakistan.

For the IPO, Arif Habib Limited was the Consultant to the Issue and Habib Bank Limited was the Corporate Advisor. Bankers to the issue were Habib Bank Limited, MCB Bank Limited, Meezan Bank Limited, Bank Al-Habib Limited, Habib Metropolitan Bank Limited, and Allied Bank Limited. The public issue was underwritten by Arif Habib Limited, AKD Securities Limited, Habib Bank Limited, Intermarket Securities Limited, Topline Securities Limited, Bank Al Habib Limited, and Next Capital Limited.

Through the capital raised, TPL Trakker Limited plans to finance its regional expansion of IoT solutions, investment in developmental IT infrastructure, development of mapping data and working capital for Connected Car and IIOT (Industrial Internet of Things) solutions.

Farrukh Khan, CEO of PSX, while welcoming the second public offering at Pakistan Stock Exchange for the year 2020, said, "It is a matter of great pride to announce the listing of TPL Trakker on PSX, the second company listed in the current year. The successful IPO and listing of TPL Trakker, a pure technology based company, has been completed efficiently amidst the challenges posed by the Coronavirus and the ensuing impact. This further demonstrates that companies are actively utilizing the Stock Exchange as their preferred platform to raise capital and invest to strengthen their businesses. In recent days PSX has been witnessing record trading volumes. The increased activity proves that Pakistan's capital market is resilient and fully able to play its part in the country's economic development, despite the current challenges".

Shahid Ali Habib, CEO of Arif Habib Limited, Consultant to the Issue, commenting on the IPO, said, "I am delighted that TPL Trakker Ltd., one of Pakistan's largest IoT companies, is getting listed at Pakistan Stock Exchange.

It is a proud moment for us at Arif Habib Limited to have facilitated this journey for the Company that will be a new pure tech player within the technology sector of the Pakistan Stock Exchange. We have received very good participation from institutions, including mutual funds, banks, insurance companies and HNWIs in this IPO".

Speaking at the gong striking ceremony, Sarwar Ali Khan, CEO, TPL Trakker, said, "Striking the gong is symbolic in many ways for us at TPL Trakker. It rings in a new beginning, and an outlook for the future that is riddled with opportunity. Trakker has come a long way since 2001 and as we expand our portfolio further into Logistics and Transportation, diversify into new verticals, and bring innovative IoT Solutions and Services to the market, we are poised to execute our vision of regional growth. I would like to thank the entire investor community who has had faith in TPL Trakker and its scope. And I am proud and humbled to be a part of the Trakker team without whom none of this is possible".

Malik Shehryar, CFO, TPL Trakker, said, "The gong striking ceremony is a momentous occasion for us at TPL Trakker. The Company's successful IPO with an oversubscription of 14.6 percent, given the global pandemic and current economic conditions, is a testament to the strength and potential of TPL Trakker even during such challenging times. I am confident that we will rise above the expectations of our investors and continue to hold our position as a leader in the IoT segment in Pakistan."

Copyright Business Recorder, 2020