Air Link Communication Ltd, the official distributor of Huawei, Samsung, iPhone, Tecno, TCL, iTel, and Xiaomi Mobiles in Pakistan, plans to raise at least PKR 5.85 billion through an IPO (Initial Public Offering) this month. This will be the largest IPO from a private firm in Pakistan.
The company plans on issuing sixty million new shares and the current CEO, Muzzaffar Hayat Piracha, will sell thirty million shares from his personal holdings. The company plans on selling the shares at a principal price of PKR 65-91 each and will take investor orders on August 30th and 31st. After this, the stock will be given a per-share value before making it available for purchase.
Airlink, almost a decade old company, is one of the largest distributors of mobile phones in the country and has recently expanded into the mobile assembly and manufacturing sector. The company plans on utilizing the funds to expand its distribution networks. Kamran Nasir, CEO at JS Global Capital Ltd. and the consultant and book-runner to the transaction, reported that the company aims to increase the number of its outlets from 14 to 150 by 2026. He further informed that the company expects to triple its revenue to PKR 129 billion and surge its net income by 500% to PKR 9.2 billion by the fiscal year 2025, from 2020
This will be the largest IPO since Interloop Ltd. in 2019 which raised about PKR 5 billion. Pakistan has seen a record streak of IPOs this year with eight IPOs only in the last fiscal year 2021. The eight IPOs in 2021 included offerings by Agha Steel Industries Limited, Panther Tyres Ltd, Citi Pharma Ltd, Service Global Footwear Ltd, Pakistan Aluminium Beverage Cans Ltd, The Organic Meat Company, TPL Trakker Limited, and a preference share issuance by Engro Polymer and Chemicals Ltd.
