“Raising money through shares is cheaper than bank borrowing”

KARACHI: Pakistan Stock Exchange has reacted to the news of the International Monetary Fund (IMF) accepting the option of extending payments of electricity bills.

Early in the trading day, the benchmark KSE-100 inched up 51 points, to trade at 45,858 points, after opening at 45,807 points. By midday, the rise had increased to a comfortable 89 points, with the index at 45,897 points.

Yesterday, the stock market showed an improvement of 316.09 points through the day. This stability in the index can be a result of recovering economic indicators, as well as the news of a new listing at PSX.

Banks involved in forex business will have owned exchange companies: SBP

On Wednesday, a technology firm, Symmetry Group, held an initial public offer (IPO) at the stock exchange, raising Rs 430.27 million, at a strike price of Rs 4.30 per share.

PSX Managing Director Farrukh H. Khan said on the occasion of this listing that at least three more IPOs are expected to take place soon “as an increasing number of companies realise that raising funds through the shares market is more efficient than relying on high-cost bank borrowing”.

Data from PSX shows that ‘Treet Battery Ltd.’ has also applied for listing, while seven other prospectuses have also been approved by the PSX in the last two years. These companies are likely to come for IPOs soon.