Exterminators open trading at CSE

Tuesday, 29 March 2022 01:12 - - {{hitsCtrl.values.hits}}

Exterminators Ltd., Sri Lanka’s premier pest management, and environmental enhancement Technology Company will commence trading on the Colombo Stock Exchange (CSE) on 30 March.

The Initial Public Offering (IPO) was opened on 14 March, and it was oversubscribed, approximately four times in a matter of hours on the opening day itself, receiving 1,485 applications, which is a significant achievement considering the present volatile market conditions and unfavorable macroeconomic factors in the country.

The retail category was oversubscribed by two times, the Unit trusts category by 3.2 times, and the non-retail category by 5.6 times.

Exterminators Ltd. offered 20% of the stake via the IPO to raise Rs. 60 million by offering 10,000,000 Ordinary Voting shares at a price of Rs. 6/= per share.

Exterminators will create history by becoming South Asia’s first and among the few pest control companies in the world to be listed on a stock exchange.

“The financial performance of the company was further improved in the first 11 months for the current financial year. The PAT increased by 60% from Rs. 14.7 million in FY 20/21 to Rs. 23.5 million FY 21/22, Earnings per share increased by 29% to Rs. 0.59 from Rs. 0.46 and the P/E ratio stands at 10x as of 28 February.

“Exterminators Ltd. enters the capital markets domain as a listed entity on the Empower Board; however, it has tremendous growth prospects to become a larger company and thereafter migrate to the Main Board of the CSE.” Atarah Capital Partners the Manager to the Issue and Sponsor of the IPO Managing Director Rohan Senewiratne said.

“We thank the CSE for introducing the ‘Empower Board’ for the SME sector in Sri Lanka and Atarah Capital Partners for encouraging and guiding SMEs to list on the CSE. SME is the backbone of the economy of any country varying the contribution to GDP from 40% to 60%,” Exterminators Chairman Chaaminda Ratnayake stated.