ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has decided to introduce the concept of e-IPO in the upcoming Initial Public Offering (IPO) of shares and Corporate Bonds (CB) by companies.

The concept will enable the investors to make application for subscription of shares and CB via internet. The e-IPO aims to facilitate simultaneously both the companies that intend to raise fund from the capital market through IPO and the general public applying for subscription of shares and CB offered by the companies to the public.

The decision has been taken in consultation with various stakeholders including representatives from the State Bank, Karachi Stock Exchange (KSE), Central Depository Company, issuers and banks, brokerage companies and the share registrars and the ballotters to the issue to seek their views and discuss the technical, legal and operational modalities in the new initiative.

The e-IPO will help reduce the time and efforts required for subscription of shares and CB by the investors. It will also help the issuer to efficiently raise the funds from the market.