Soya Supreme, a leading Pakistani cooking oil manufacturer, is gearing up for an initial public offering (IPO) to extend its business reach to the Middle East and North Africa, revealed officials on Friday. This IPO, expected to fortify the brand’s expansion amidst a shaky year for the Pakistan Stock Exchange (PSX), marks the second of this year, influenced by economic instability and an impending general election in November.
Despite a nine-year low in public listings in 2022, which garnered a mere Rs1.3 billion, the company is optimistic. The brand, established in 1991, will decide the IPO’s timing based on the market’s climate, stated Ahmad Ghulam Hussain, CEO of Agro Processors and Atmospheric Gases (APAG), the parent company of Soya Supreme. The board has empowered the management to collaborate with Habib Bank Limited and brokerage firm KTrade to kickstart the IPO process. While the fundraising and valuation specifics remain undisclosed and contingent upon board approval, Hussain confirmed that no existing shares would be sold.
Soya Supreme, which relies heavily on imported raw materials, recently ventured into producing specialized industrial fats, addressing the local food companies’ needs amidst the country’s import restrictions. This move also facilitated the export of specialized fats to nations in the Middle East and North Africa. Besides its renowned cooking oil, the brand offers a variety of sauces.
Meanwhile, Dalda, another consumer staple giant in Pakistan, is also gearing up for an IPO aiming to secure Rs3.3 billion to Rs4.6 billion, potentially setting a record for the sector’s largest IPO. The schedule for Dalda’s IPO is still under wraps.
