IPO of OGDCL oversubscribed

Posted on 01.23.07 by poster @ 2:00 pm    

The secondary public offering of Oil and Gas Development Company Ltd (OGDCL) shares has been oversubscribed by 38 per cent, Privatisation Commission statement said on Monday.

According to details, the applications for the secondary offering of OGDCL shares is oversubscribed by 38 per cent as the applications received amounted to Rs3.268 billion while the amount required to be realised through this offering was Rs2.365 billion. The number of applications received are 34,758 comprising 33,715 applications for 500 shares and 1,043 applications for over 500 shares.

All applications for 500 shares will be accommodated. Applications of over 500 shares will be allotted on pro-rata basis. The shares will be transferred to the successful applicants within 30 days after the balloting which is scheduled to be held on January 23, 2007.

Commenting on the success of the offering of OGDCL, Zahid Hamid, Federal Minister for Privatisation and Investment said that the oversubscription of OGDCL’s domestic secondary offering was a significant success and it sent strong signal of investors’ confidence in the Company and the economic reforms and policies of Government of Pakistan.

The government will continue to vigorously pursue its approved privatisation programme, he said and added that it would certainly set the pace for the other upcoming initial and retail/ domestic offerings.

Giving details of the final domestic retail offer, minister said that the offer was priced at Rs110 per share, which was at a discount to the market price and to the price at which shares/Global Depository Shares were allocated to the institutional investors on November 30, 2006. The total number of OGDCL shares offered by the PC was 21,505,000 million. The offer represents 0.5 per cent of OGDCL’s outstanding shares.

Source: The News