New PSX record: Service Long March Tyres IPO book building gets fully subscribed within 5 seconds

Service Long March Tyres Limited’s (SLM) Initial Public Offering (IPO) book building was fully subscribed within the first 5 seconds of opening on Monday, marking one of the fastest-ever book building transactions in the history of the Pakistan Stock Exchange (PSX).

The IPO is being offered at a price band of Rs14.25 to Rs19.95 per share, while the book building process is scheduled for May 18 and 19, 2026. The company’s valuation for the IPO has been estimated at around $550 million, with management targeting to build it into a $1 billion company within the next two years.

The IPO also comes at a time when Pakistan’s equity market is witnessing renewed investor interest in manufacturing and industrial companies linked to export growth and localisation opportunities.

Arif Habib Limited, the lead manager and book runner for the transaction, appreciated the investor participation in the book-building process.

“We sincerely thank all investors for placing their trust in Arif Habib Limited and participating in this landmark transaction.

SECP approves IPO of Service Long March Tyres

The response reflects strong confidence in Service Long March Tyres’ fundamentals, export potential and long-term growth story,” said Shahid Ali Habib, CEO of Arif Habib Limited.

The response to Service Long March Tyres’ IPO is being seen as a positive development for Pakistan’s capital market, particularly at a time when export-led manufacturing companies are attracting growing investor interest.

Incorporated in 2020 as a joint venture between Service Industries Limited, China’s Chaoyang Long March Tyre Company Limited, and Myco Corporation Pakistan, SLM commenced commercial operations in March 2022. The company operates a manufacturing facility at SITE Nooriabad, Sindh, spread over approximately 50 acres of SEZ land.

Service Long March Tyres has emerged as a key player in Pakistan’s automotive manufacturing landscape since commencing operations, focusing primarily on the truck and bus radial tyre market, which plays a critical role in supporting the country’s transportation, logistics, trade and industrial sectors.

Under its expansion strategy, SLM plans to establish a dedicated passenger car tyre production facility, with commercial operations expected to commence in January 2028.

The proposed plant will initially have an annual production capacity of around 2 million tyres, which the company aims to expand to 2.5 million units in FY2029 and 3 million units by FY2030.