IPO at PSX: Select Technologies mobilises Rs3.02bn through selling 88.88mn shares

Select Technologies is set to raise a total of Rs3.02 billion through its initial public offering (IPO) at the Pakistan Stock Exchange (PSX), as the company has achieved the price of Rs34 per share during the two-day Dutch bidding that ended on Tuesday.

The technology firm is selling a total of 88.88 million shares at the strike price of Rs34 per share to investors in the first IPO of the new fiscal year 2026-27, as shares of the company will be available for public trading at the stock market from July 2026.

Select Technologies is a wholly owned subsidiary of Air Link Communication Limited.

The company share price surged 21.43% to the strike price of Rs34 during the two-day bidding from the pre-opening bid price of Rs28 per share. The share price was allowed to rise by a maximum of 50% to Rs42 per share during the Dutch bidding.

Also read: Select Technologies announces Rs2.5bn IPO to establish AC manufacturing facility in Pakistan

The IPO data suggests the company has mobilised Rs2.26 billion through selling 66.66 million shares to institutional and high net worth individual (HNWI) investors at the two-day book building (Dutch bidding) process that culminated on Tuesday.

Besides, it is scheduled to sell another 22.22 million shares to retail investors at the discovered strike price of Rs34 per share on July 2-3, 2026, which would generate another Rs755.55 million for the company, making a total of Rs3.02 billion.

Earlier, the company said in its IPO prospectus: “The IPO proceeds will be used primarily to establish a production facility at Sundar Green Special Economic Zone for the manufacturing and assembly of air conditioner (AC) units, with an objective of enhancing production capacity, expanding product range, and availing regulatory tax benefits.

“A portion of the proceeds will be utilised towards expanding the TV production line to support large scale TV models and enhance the efficiency of existing TV production facilities.”

It maintained that capital expenditure will also be undertaken on smartphone plant and machinery, allowing Select Technologies Limited to keep its operations up-to-date with technological advancements in the industry. “The remainder of the proceeds raised [above Rs2.48 billion] will be utilised in financing the working capital needs of the company, which remain high due to the need to finance inventories.”

Lead manager of the IPO, Arif Habib Limited’s CEO Shahid Ali Habib said in a statement that Select Technologies IPO received “an overwhelming response from investors during the book building process, achieving 3.23-time oversubscription”.

“This strong participation reflects investors’ confidence in Select Technologies’ sponsors and management, growth strategy, and future prospects,” he said.

PSX witnessed 11 IPOs in the outgoing fiscal year 2025-26. Select Technologies will be the first IPO for the fiscal year 2026-27.