Walton Hi-Tech Industries has sought a 20 percent discount on primary shares for general shareholders.
The board of directors of the company has recently approved the decision.
On Sunday, they submitted the proposal to the Bangladesh Securities and Exchange Commission (BSEC) for its approval.
Partha Protim Das, company secretary to Walton, has confirmed it to The Business Standard.
He said the company took the decision to help the general investors who are in trouble in this time of the coronavirus pandemic.
The cut-off price of Walton Hi-Tech Industries' shares has been determined at Tk315 through electronic bidding.
Qualified and institutional investors will buy 50 percent of the company's shares – worth nearly Tk61 crore – at the cut-off price.
Meanwhile, individual investors will be able to purchase the rest of the shares worth more than Tk39 crore at Tk283 per share, after a 10 percent discount on the cut-off price.
Earlier, the BSEC allowed Walton to explore the cut-off price of its shares through electronic bidding. The company set a target to raise Tk100 crore through an IPO.
Walton Hi-Tech will use the proceeds to expand its businesses, repay bank loans and meet IPO costs.
Walton has a paid-up capital of Tk300 crore. In the 2018-19 accounting year, the company's total revenue stood at Tk5,177 crore and net profit at Tk1,376 crore.
In the last financial year, the company's earnings per share were Tk45.87.
Additionally, the company's net asset value, per share with revaluation, was Tk243.16 – without revaluation it was Tk138.53 during the last financial year.
Walton Hi-Tech, founded in 1977, began manufacturing refrigerators, freezers, air-conditioners and compressors in early 2008.
The company then branched out into television as well as home and electrical appliances.
It now has a workforce of more than 20,000 people in 22 production bases on 764 acres of factory area.
The company's yearly production capacity is 10 million units – based on market demand.