SE Fruits IPO probe: SECP seeks export records from seven banks
- The banks were asked to provide export details for the company
The SECP is investigating SE Fruits and Vegetable Limited's withdrawn IPO, seeking export records and financial details from banks and reviewing shareholder information due to concerns about the company's financials.
- SECP's investigation into SE Fruits and Vegetable Limited's IPO.
- Information requests to 37 banks for export and remittance details.
- Concerns regarding the company's financial information and audit.
- The reasons behind the IPO's halting and subsequent withdrawal.
The Securities and Exchange Commission of Pakistan (SECP) has sought export records from seven banks as its investigation into the proposed Initial Public Offering (IPO) of SE Fruits and Vegetable Limited, a Punjab-based fruit exporter, progresses.
The banks were asked to provide export details for the company, formerly known as Shaheen Enterprises, read a statement released on Saturday.
The SECP also sought information from 30 banks on foreign remittances, export proceeds and other foreign exchange transactions received in the accounts of the company’s sponsors and directors.
The regulator said that some banks have responded, and their submissions are under review.
The SECP initiated the investigation on October 21 under Section 29 of the SECP Act, 1997, read with Section 139 of the Securities Act.
It received information from the IPO’s joint lead managers, Topline Securities and Growth Securities. The response from consultant Parker Russell–A.J.S. is also under review.
SE Fruits, Vegs secures SECP approval for IPO
The investigation team is examining the IPO application and shareholder information. The Central Depository Company (CDC) provided an investor list and later received a request for shareholder lists and transfer histories for people named in the prospectus. Its response, received on November 2, was partial and remains under review.
The company’s auditor, Ilyas Saeed & Co., sought an extension to provide requested information and records. Following this, the SECP granted the extension.
SE Fruits and Vegetable to refile IPO application with additional disclosures
The probe follows concerns about the company’s financial information and audit. SE Fruits had planned to raise Rs1.92 billion by offering 30 million shares at Rs40 each. The SECP halted the IPO in October, and the company subsequently withdrew the offering.