The Bank of Khyber (BoK) has received Rs 18 premium on one share of Rs 10 and the bank is expected to fetch more than Rs 500 million on flouting its 49 percent shares in the Karachi Stock Exchange (KSE) before the end of the current calendar year.
Managing Director BoK, Dr Munir Ahmad, stated this while talking to Business Recorder here on Saturday. He said that through flouting the shares of the bank in the stock exchange the bank is expected to fetch more than Rs 500 million. He said that after achievement of the annual target the bank would be able to raise its paid capital to Rs 2.1 billion.
He said that financial bidders have coming forward to take participation in the purchase of the selling of the shares. He said that the amount financial bidders have come forward to fix per share price of the bank. He said that after the achievement of Rs 2.1 billion paid up capital target the profit would be adjusted in the equity.
Dr Munir Ahmad said that Fargusan, a top audit company on the list of the State Bank of Pakistan (SBP) has completed the six months audit of the institution. He said that the six months balance sheet of the BoK would be compiled on the basis of the audit made by the Audit Company. For this purpose, he said that they are in constant touch with the brokerage houses and financial institutions of the country.
He said that increase in the paid up capital amount also require formal approval from the Securities and Exchange Commission of Pakistan (SECP). He said that the achievement of the Rs 2.1 percent paid up capital amount would also cut down the share of the DEG Germany to 7 percent. He said that the share of the DEG in Rs 1 billion paid up capital was Rs 13 percent.
NWFP government and DEG Bank of Germany have shared the Bank of Khyber, a provincial bank of NWFP. Presently the government of NWFP has 87 percent shares of the bank while the remaining 13 percent are with the DEG. Among the 49 percent shares the institutional investors have 28 percent while general public and employees would have 21 percent shares.
The profit of the bank during 2002-2003 has registered 98.50 percent growth and the pre-tax profit was increased from Rs 200 million to Rs 397 million.
The after tax profit which was Rs 142 million in 2002 has been increased to Rs 305 million registering an increase of 114.79 percent.
Similarly, since the beginning of the current year despite decline in the interest rate the bank has managed to post good earnings as the asset base of the bank has been improved by 11.4 percent as compared to last year.