Barakat Frisian Agro Limited, Pakistan’s largest egg products maker, is preparing for an initial public offering next month, aiming to capitalize on a stock market rally that has made Pakistan the best-performing market in Asia for 2024.
The company, a joint venture between Pakistan-based Buksh Group and Dutch Frisian Egg Group, plans to raise up to 1.2 billion rupees ($4.3 million) through an IPO, according to Shahid Ali Habib, CEO of Arif Habib Ltd. Deal Manager and Book Manager.
The proceeds from the IPO will be used to finance the construction of a new production facility in the Faisalabad Special Economic Zone in Punjab. This will enable Barakat Ferizian Company to increase its production capacity from the current 17,000 tons to 29,000 tons annually, meeting the growing local and international demand. The company already operates a factory in Karachi.
The IPO comes as the Karachi Stock Exchange’s benchmark KSE-100 index has risen by 8,200 points this year, driven by economic stability and restored confidence through the IMF loan programme. Analysts expect the index to advance by more than 25% by the end of next year as the pace of recovery increases.
Barkat Frisian Agro specializes in pasteurized eggs, yolks, whites and egg-based products for the food industry, as a major player in Pakistan’s agricultural export sector. Through this IPO, the company seeks to strengthen its position in the market and capitalize on buoyant investor sentiment to enhance growth.