Select Technologies Limited is gearing up for a massive expansion. The wholly owned subsidiary of Air Link Communication Limited just announced an Initial Public Offering (IPO). Consequently, the company aims to raise Rs. 2.489 billion. This major move will significantly expand its technology manufacturing operations in Pakistan.
Recently, both the Securities and Exchange Commission of Pakistan (SECP) and the Pakistan Stock Exchange (PSX) approved the offering. Specifically, the company will issue 88.89 million ordinary shares. This chunk represents 10% of its post-IPO paid-up capital.
Select Technologies Allocation & Pricing Strategy
The company will conduct this offering through the book-building method. First, it will offer 66.67 million shares to institutional and eligible investors. This allocation makes up 75% of the total IPO. The floor price stands at Rs. 28 per share. Furthermore, bidders can bid up to Rs. 42 per share, since the maximum price band rests at 50% above the floor price.
Meanwhile, retail investors will get the remaining 22.22 million shares. They will purchase these at the final strike price determined by the book-building process. Notably, the company has fully underwritten this retail portion.
Registration for eligible investors kicks off tomorrow, June 17, and runs until June 23. Following this, the actual book-building process will occur on June 22 and June 23. Finally, public subscription will open next month on July 2 and July 3. To facilitate this massive financial event, Arif Habib Limited and Intermarket Securities Limited are jointly serving as consultants to the issue.
Expansion Plans & Market Impact
Currently, Select Technologies Limited manufactures and assembles smart televisions, smartphones, and consumer appliances for global giants like Xiaomi and Hisense. Impressively, the company already holds a 15.5% share of Pakistan’s smartphone assembly market. Additionally, it produced 7.7% of all mobile devices manufactured in the country during the 2025 fiscal year.
Going forward, the company plans to inject the IPO proceeds directly into physical growth. Primarily, Select Technologies will establish a brand-new manufacturing facility in Lahore. This plant, located at the Sundar Green Special Economic Zone, will focus entirely on air conditioner production and assembly. Besides this, the company will allocate funds to expand its television manufacturing capacity. It will also invest heavily in new smartphone production machinery and support its working capital requirements.
Ultimately, this planned expansion will drastically boost annual output. The company expects its production capacity to reach 7 million smartphones, 360,000 televisions, and 400,000 air conditioners every single year. Furthermore, the new facility at the Sundar Green Special Economic Zone will enjoy vital income tax exemptions through fiscal year 2035. Therefore, this strategic advantage will heavily support long-term growth and sustained profitability for the local assembler.
