Business Recorder
KARACHI: Sitara Petroleum Service Limited (SPSL) on Thursday formally joined the Pakistan Stock Exchange (PSX) after successfully completing one of the country’s largest and most widely participated private-sector Initial Public Offerings (IPO), raising approximately Rs4.8 billion amid overwhelming investor response. The listing marks the 10th IPO of the year, reflecting growing momentum in Pakistan’s capital market as both institutional and retail participation continue to strengthen despite global economic uncertainties. According to details shared at the listing ceremony held at the Pakistan Stock Exchange, Sitara Petroleum’s IPO attracted the highest-ever participation in Pakistan’s IPO history, with nearly 25,000 applications received across both the book-building and retail subscription phases. The transaction raised approximately Rs4.8 billion, making it among the largest private-sector IPOs in Pakistan’s history, while demonstrating strong investor confidence in the company’s fuel retail and logistics business model. The book-building portion of the offering, comprising 126 million ordinary shares, was fully subscribed within just eight minutes and ended up oversubscribed seven times, underscoring exceptionally strong demand from institutional investors and high-net-worth individuals. Meanwhile, the retail subscription phase also witnessed robust participation, with the 42 million-share retail portion oversubscribed 3.4 times, attracting nearly 24,000 applications from investors nationwide, highlighting growing retail engagement in Pakistan’s equity market. The overall transaction comprised 279.914 million ordinary shares, including both pre-IPO and IPO offerings, representing 16.66 percent of the company’s post-IPO paid-up capital. The pre-IPO placement, comprising 111.914 million ordinary shares or 6.66 percent of post-issue capital, successfully raised approximately Rs1.66 billion at a price of Rs14.85 per share. The IPO component included 168 million ordinary shares, equivalent to 10 percent of the company’s post-listing paid-up capital. The company had initially offered the IPO at a floor price of Rs13.50 per share, but strong investor demand during book building pushed the strike price to Rs18.90 per share, reaching the upper end of the price band. As a result, the IPO transaction size increased to approximately Rs3.17 billion at the discovered strike price, compared to Rs2.27 billion at the floor price, reflecting strong market appetite for the offering. The IPO attracted participation from a diverse investor base, including institutional investors, corporates, high-net-worth individuals and retail investors, reflecting broad confidence in the company’s future growth trajectory and business fundamentals. Copyright Business Recorder, 2026
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