EghtesadOnline: An investment company affiliated to the Civil Servants Pension Organization (CSPO) held an initial public offering on Wednesday at Iran Fara Bourse, the junior equity exchange.
The Investment Services Company offered 15% of the stake, comprising 225 million shares.
Whit each share priced 5,023 rials, the company generated 1.13 trillion rials ($4.3 million). The IPO was welcomed by investors as close to 2.8 million trading codes partook, according to a press release published by the IFB website.
Shares were offered via book-building mechanism, which is a process by which an underwriter attempts to determine the price at which an IPO is to be offered. Price discovery involves recording investor demand for shares before arriving at the issue price.
The newly listed company is a subsidiary of the Capital Investment Management Group, which also went public in late June. The parent company is known as the financial holding of CSPO.
CSPO is the second largest pension fund in Iran whose premiums are paid by state-run organizations. It operates as an independent organization under the supervision of the Ministry of Cooperatives, Labor, and Social Welfare and run as an insurance company. This organization is responsible for the retirement affairs of millions of civil servants.