prospectus - if you have any query about this document, you may consult issuer, issue manager and...

If you have any query about this document, you may consult issuer, issue manager and underwriter
PROSPECTUS
KHAN BROTHERS PP WOVEN BAG INDUSTRIES LIMITED
24/1, Chamelibag (5th & 8th Floor), Shantinagar, Dhaka-1217
Phone: +880-2-8332069, +880-2-8332108, Fax: +880-2-8332576
Email: [email protected], Website: www.kbgbd.com
PUBLIC ISSUE OF 20,000,000 ORDINARY SHARES OF BDT 10.00 EACH AT AN ISSUE PRICE OF
BDT 10.00 EACH AT PAR AMOUNTING TO BDT 200,000,000
Subscription opening and closing date:
For Resident Bangladeshis - Opening Date: August 24, 2014 Closing Date: August 28, 2014
For Non-Resident Bangladeshis - Opening Date: August 24, 2014 Closing Date: September 06, 2014
MANAGERS TO THE ISSUE:
AFC Capital Limited BMSL Investment Limited
Tanaka Tower (2nd Floor), 42/1/Gha,
Segun Bagicha, Dhaka-1000
Tel: +88-02-7120795; +88-02-7121348
Fax: +88-02-7121348; +88-02-9550040,
Website: www.afccapital.org
Sadharan Bima Tower (7th Floor),
37/A Dilkusha C/A, Dhaka-1000
Tel: +88-02-7169428, 9570624, Fax: 7123820
Website:www.bmslinvestment.com
UNDERWRITERS:
EASTERN BANK LIMITED
Jiban Bima Bhan (2nd Floor)
10 Dilkusha C/A Dhaka-1000
Tel: +88-02-9556360;
BMSL Investment Limited
Tel: +88-02-7169428, 9570624, Fax: 7123820
THE ISSUE SHALL BE PLACED IN N CATEGORY
ISSUE DATE OF THE PROSPECTUS: June 30, 2014
CONSENT OF THE BANGLADESH SECURITIES AND EXCHANGE COMMISSION HAS BEEN OBTAINED TO THE
ISSUE/OFFER OF THESE SECURITIES UNDER THE SECURITIES AND EXCHANGE ORDINANCE, 1969, AND THE
SECURITIES AND EXCHANGE COMMISSION (PUBLIC ISSUE) RULES, 2006. IT MUST BE DISTINCTLY UNDERSTOOD
THAT IN GIVING THIS CONSENT THE COMMISSION DOES NOT TAKE ANY RESPONSIBILITY FOR THE FINANCIAL
SOUNDNESS OF THE ISSUER COMPANY, ANY OF ITS PROJECTS OR THE ISSUE PRICE OF ITS SECURITIES OR FOR
THE CORRECTNESS OF ANY OF THE STATEMENTS MADE OR OPINION EXPRESSED WITH REGARD TO THEM.
SUCH RESPONSIBILITY LIES WITH THE ISSUER, ITS DIRECTORS, CHIEF EXECUTIVE OFFICER/CHIEF FINANCIAL
OFFICER, ISSUE MANAGER, UNDERWRITER AND/OR AUDITOR"
mailto:[email protected]://www.afccapital.org/http://www.bmslinvestment.com/

Khan Brothers PP Woven Bag Industries Limited II
Issue Managers :
AFC Capital Limited
AVAILABILITY OF PROSPECTUS
The Prospectuses of the Company shall be available at the following addresses:
Source Address Contact Person Telephone
Company Khan Brothers PP Woven Bag Industries Ltd.
24/1, Chamelibagh (5th & 8th Floor),
Shantinagar, Dhaka-1217
Tapan Kumar Sarker
CFO & Company Secretary
+880-2-8332069,
+880-2-8332108
Email:[email protected]
Issue Managers
AFC Capital Limited
Tanaka Tower (2nd Floor), 42/1/Gha,
Segun Bagicha, Dhaka-1000.
Md. Abul Bashar Parvez
Senior Executive
+88-02-7120795
+88-02-7121348
Md. Riyad Matin
Managing Director
+88-02-7169428
+88-02-9570624
Email: [email protected]
Underwriters
Eastern Bank Limited
Jiban Bima Bhan (2nd Floor)
10 Dilkusha C/A Dhaka-1000
M. Shahryr Faiz
Associate Manager +88-02-9556360;
Md. Riyad Matin
Managing Director
+88-02-7169428
+88-02-9570624
Email: [email protected]
Stock
Exchanges
Dhaka Stock Exchange Limited
9/F Motijheel C/A, Dhaka 1000 Library of DSE +88-02-7175705-9
Chittagong Stock Exchange Limited
CSE Building, 1080, Sheikh Mujib Road
Chittagong 4100
Library of CSE +88-031-714632-3
+88-031-720871-3
Prospectus is also available on the websites of Khan Brothers PP Woven Bag Industries Limited
(www.kbgbd.com), AFC Capital Limited (www.afccapital.org), BMSL Investment Limited
(www.bmslinvestment.com), BSEC (www.sec.gov.bd), DSE (www.dsebd.org), CSE (www.csebd.com) and at the
Public Reference room of the Bangladesh Securities and Exchange Commission (BSEC) for reading and study.
Auditors Information Name Address Contact No.
MAHFEL HUQ & CO.
Chartered Accountants
BGIC Tower (4th Floor)
34 Topkhana Road, Dhaka-1000.
+88-02- 7171316;
+88-02- 9553143
E-mail: [email protected]
mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]://www.kbgbd.com/http://www.afccapital.org/http://www.bmslinvestment.com/http://www.sec.gov.bd/http://www.dsebd.org/http://www.csebd.com/mailto:[email protected]

Khan Brothers PP Woven Bag Industries Limited III
Issue Managers :
AFC Capital Limited
TABLE OF CONTENTS
PARTICULARS Page
No
PART I
STATUTORY DISCLOSURES, CONDITIONS, DECLARATIONS AND DUE
DILIGENCE CERTIFICATES
1-11
A Disclosures in Respect of Issuance of Securities in Dematerialized Format 01
B Conditions under 2CC of the Securities and Exchange Ordinance, 1969 01-07
C Declarations and Due Diligence Certificates 08-11
PART II RISK FACTORS AND MANAGEMENT'S PERCEPTION ABOUT THE RISKS 12-16
(a) Interest Rate Risks 12
(b) Exchange Rate Risks 12
(c) Industry Risks 12
(d) Market and Technology Related Risks 13
(e) Potential or existing government regulations 14
(f) Potential changes in global or national policies 14
(g) History of non-operation, if any 14
(h) Operational Risks 15
(i) Others Risks 15
PART III CAPITAL STRUCTURE AND USE OF PROCEEDS 17-21
a Capital structure of the company 17
b Net proceeds from the IPO 17
c Use of the net proceeds and Implementation Schedule 17
d Terms of Contract 21
PART IV DESCRIPTION OF BUSINESS 22-24
(1) Incorporation 22
(2) Commencement of commercial operation 22
(3) Nature of Business 22
(4) Principal products or services of the company 22
(5) Markets for such products or services 22
(6) Relative contributions of the products/services to sales or income that
accounts for 10% or more of the companys total revenue
22
(7) Name of associates, subsidiary/related holding company and their core area
of business
22
(8) Way of distribution of products and/or services 22
(9) Competitive conditions in the business 23
(10) Sources and availability of raw materials and the names of the principal suppliers 23
(11) Sources of, and requirement for, power, gas and water, or any other utilities 23
(12) Name of the customers who purchase 10% or more of the companys
products/services
24
(13) Description of any contract with principal suppliers or customers 24
(14) Description of any material patents, trademarks, licenses or royalty
agreements
24
(15) Number of total employees and number of full-time employees 24
(16) Production/service capacity and its current utilization 24

Khan Brothers PP Woven Bag Industries Limited IV
Issue Managers :
AFC Capital Limited
PART V DESCRIPTION OF PROPERTY 25
Details of the property of the company 25
PART VI PLAN OF OPERATION AND DISCUSSION OF FINANCIAL CONDITION 26-32
1 Internal and external sources of cash 26
2 Material commitments for capital expenditure and expected sources of such
funds for such commitments
26
3 Causes for any material changes from period to period in income, cost of
goods sold, other operating expenses and net income
26
4 Seasonal aspects of the companys business 27
5 Known trends, events and uncertainties that shall have a material effect on
the companys future business
27
6 Change in assets of the company used to pay off any liabilities 27
7 Details of loan taken from or given to its holding/parent company or
subsidiary company
27
8 Details of future contractual liabilities and their impact on companys
financial fundamentals
27
9 Estimated future capital expenditure 27
10
VAT, Income Tax, Customs Duty or other tax liability, any including
contingent liability and reasons for their non-payment prior to the issuance
of this prospectus
27
11 Details of operating lease created during last five years and companys plan to
liquidate such lease.
28
12 Details of any financial commitment, including lease commitment during
past five years and way of their liquidation
29
13 Details of personnel related scheme 29
14 break down of IPO issue expenses 30
15 Details about revaluation of companys assets 31
16 Details of transactions with holding/subsidiary company or associate
company during last five years
31
17
Auditors certificate regarding any allotment of shares to di

prospectus - if you have any query about this document, you may consult issuer, issue manager and...

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