WASHINGTON: Pakistan’s economy has improved in recent past despite security challenges and energy problems, said a Wall Street Journal report that was about investors’ interest in a public offering of a multi-billion shopping mall in Karachi.
Pakistan’s main stock market has gained 72 percent since the 2013 election that brought the government of Prime Minister Nawaz Sharif into power, according to the report published on the Wall Street Journal website. “The country’s improving prospects are increasingly being recognized internationally.”
The report noted that Prime Minister Nawaz Sharif government has said boosting investment is one of its key economic objectives. The report “Investors Flock to Pakistan’s First Real Estate Investment Trust” was about a response to a public offer by Pakistan’s first real-estate investment trust that was heavily over-subscribed, according to REIT’s lead manager and analysts.
The Dolmen City REIT offered investors a 25% stake in a 22.24 billion rupee shopping mall and an office complex at Dolmen City in Karachi. The report quoted REIT’s manger saying that the initial offer for 75 per cent of the trust to institutional investors drew demand of more than 7 billion rupees for an offering of shares worth 4.17 billion rupees. At the strike price, the initial offer raised 4.59 billion rupees.
The remaining 25 per cent state was to be offered to the public on Friday at a strike price of 11 rupees. Analysts and the REIT’s management expected the Friday offering to be fully subscribed as well, raising another 1.53 billion rupees.-