3.
UNDERWRITING, COMMISSION, BROKERAGE AND OTHER EXPENSES
3.1 UNDERWRITING
| |
The public offering of 10,500,000 ordinary shares of Rs.1 0/- each
to be issued at par for a total value of Rs.1 05,000,000 has been
fully underwritten as follows: |
Institution
No. of Shares Rupees
| Crescent
Investment Bank Limited |
7,000,000
|
70,000,000
|
| First
Capital Securities Corporation Limited |
3,500,000
|
35,000,000
|
|
Total:
.
|
10,500,000
=========
|
105,000,000
==========
|
| |
If
and to the extent the shares hereby offered to the general public
and employees are
not subscribed and paid for in cash in full, the Underwriters shall,
within two days of
being duly called upon by the company to do so, subscribe or procure
subscribers to
subscribe for such shares in their respective proportions in accordance
with their
underwriting commitments.
In the opinion of the Directors, the resources of the Underwriters
are sufficient to
discharge their underwriting obligations. |
| |
|
3.2
NO BUY-BACK/RE-PURCHASE AGREEMENT
| |
THE
UNDERWRITERS HAVE NOT ENTERED INTO ANY BUY-BACK/RE-PURCHASE AGREEMENT
WITH THE SPONSORS OR ANY OTHER PERSON. |
| |
|
3.3
UNDER WRITING COMMISSION
| |
The
underwriters have been paid underwriting commission @ 2.5% in respect
of shares of the value of Rs.105,000,000 underwritten by them.
The underwriters shall be paid additional take-up commission @ 2.5%
in respect of shares taken up by them in accordance with their underwriting
commitments. No underwriting commission shall be paid in respect of
shares taken up by the employees through the exercise of their respective
options. |
| |
|
3.4 COMMISSION
TO THE BANKERS TO THE ISSUE
| |
A
commission not exceeding 0.50% of the amount collected on allotment
will be
paid to the bankers for services to be rendered by them in connection
with this Issue. No commission shall be paid to the bankers in respect
of shares taken up
by the underwriters by virtue of their underwriting commitments and
shares taken up by the employees of the company through the exercise
of their option. |
| |
|
3.5
BROKERAGE
| |
The
Company will pay brokerage to the Members of the Karachi Stock Exchange
(Guarantee) Limited @ 1% of the value of the shares actually allotted
on applica-
tions made through them. No brokerage shall be paid to the members
in respect
of shares taken up by the underwriters by virtue of their underwriting
commitment
and shares taken up by the employees of the company through the exercise
of
their option. |
| |
|
3.6
PLACEMENT CHARGES
| |
No
placement charges have been paid for foreign/local placement of equity.
|
| |
|
3.7
PRELIMINARY EXPENSES
| |
Preliminary
Expenses of the Company have been paid by the initial shareholders
through their own resources, and have not been charged to the company. |
| |
|
3.8
EXPENSES OF THE ISSUE
| |
The
expenses of the issue payable by the Company are estimated not to
exceed
Rs.6,657,500 and include: |
| |
|
| |
|
Amount
(Rupees)
|
| |
Commission
to bankers to the issue: |
524,000
|
| |
Brokerage to members of Stock Exchanges: |
1048,000
|
| |
Underwriting Commission: |
2625,000
|
| |
Other expenses of the issue, i.e. banker's charges, printing
and stationery, advertisement of prospectus, copmuter services, balloting,
consultancy fee, listing fee, etc.: |
2,460,500
|
| |
|
6,657,500
========
|
| |
|
|
Part
I |
Part
II |
Part
III | Part
IV | Part
V
| Part VI
| Part VII
| Part VIII
| Part
IX
|