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Pak-Qatar General Takaful Limited (PQGTL) has made history with its initial public offering (IPO) on the Pakistan Stock Exchange (PSX), closing the book-building phase with a remarkable 21 times oversubscription. The strike price was set at Rs. 14 per share, exceeding the floor price of Rs. 10, highlighting strong investor confidence in Pakistan’s first dedicated general takaful company.
PQGTL’s IPO represents a milestone for the country’s takaful sector, offering investors a unique opportunity to participate in the rapidly growing Islamic insurance market. The book-building process attracted total demand worth Rs. 4.74 billion, reflecting overwhelming interest from institutional investors and high-net-worth individuals.
Under the IPO structure, 22.5 million shares will be provisionally allotted to institutional and high-net-worth investors, while 7.5 million shares will be made available to retail investors on January 28 and 29.
Shahid Ali Habib, CEO of Arif Habib Limited and lead manager of the IPO, commented:
“The first-ever IPO of a dedicated general takaful company demonstrates strong investor confidence in PQGTL and Pakistan’s fast-growing takaful market. This is a historic debut that sets the benchmark for future takaful offerings.”
Use of IPO Proceeds
PQGTL plans to utilize the IPO funds for strategic growth initiatives, including:
- Expansion of branch network and transformation of existing branches
- Investments in technology, software, and hardware
- Marketing, brand development, and human resource enhancement
- Operational efficiency improvements and customer experience enhancement
These initiatives are aimed at solidifying PQGTL’s market position and supporting sustainable growth in the general takaful sector.
Analysts view this successful IPO as a strong indicator of Pakistan’s evolving financial and insurance markets. With the retail tranche opening soon, PQGTL is expected to continue attracting robust participation from individual investors, further strengthening its market base.
