Disclaimer: The company profile has been made on the basis of the information provided in the prospectus and the information available on the DSE Website as on April 26, 2015. Prime Bank Investment Limited is not responsible for accuracy, completeness, authenticity of the contents of the sources to prepare the document. Meanwhile you are requested to consider all other facts accordingly before investing.

IPO Profile of Bangladesh Steel Re-Rolling Mills Limited

Face Value (FV) 10

Offer Price 35 Lot 200 # of Share (IPO) 17,500,000

17,500,000

17,500,000

17,500,000

17,500,000

# of Pre-IPO Share 155,851,038 # of Post-IPO Share 173,351,038 Issue Size (at FV) (Tk) 170,500,000

IPO size in Tk. at offer price 612,500,000 Pre-IPO Paid-up Capital (TK)

1,558,510,380

1,558,510,380 Post-IPO Paid UP (Tk)

1,733,510,380

1,733,510,380

1,733,510,380 Authorized Capital (Tk) 5,000,000,000 Pre-IPO EPS (annualized) 1.77 Post-IPO EPS(annualized) 1.59 NAV/ Share 52.09 Sectoral P/E * 19.17 Market P/E* 16.12 PE at Tk 35 22

*As per latest DSE Bi-Weekly Review

Briefs of the Company: Bangladesh Steel Re-Rolling Mills Limited is the first fully automatic re-rolling mills built in the country the flagship company of BSRM Group. The company has taken the BMRE program which will enhance its capacity from 120,000 MT to 450,000 MT per annum. After BMRE, BSRM will be the largest mill of its kind in the country having capacity of producing large variety of steel products under one facility using the latest technology.

Nature of Business: Principal activities of the company are to carry on the business of production of MS Rod from Billets, MS Billet from scrap and other MS products there from and selling thereof. The company also imports MS product like H Beam, Angles and I Beam etc.

Product and Services:

Bangladesh Steel Re-Rolling Mills Limited produces a low carbon weldable quality high strength and high ductility concrete reinforcing bar such as 60 grade and 40 grade MS bars, angles, channels, I-beam,H-beam, ingot, great-beam etc.

Use of Proceeds of IPO: Particulars Tk in cr

Payment of Retention Money (For Machinery) 220.20

Finished Goods Storage Shed 167.31

Loan repayment 204.00

IPO Expenses 20.99

Total 612.50

Price with respect to POST-IPO EPS:

Major Customers: There is no single customer who purchases more than 10% of the company’s products.

Associates, subsidiary/related holding Company: i) BSRM Steels Ltd. (MS Rod Manufacturer) - 31.19% of share held which has been listed in Exchanges since 2009. It produces latest generation “Xtreme 500W” grade 500 re-bars located in Chittagong with installed capacity of 600,000 MT which is expected to increase up to 700,000 MT within July, 2015. (Source: DSE News on 2014-03-02)

(ii) BSRM Steel Mills Ltd. (BSRMSML) (Proposed manufacturer of M.S. Billets) - 21.76% of share held. It is prospective steel melting and billet casting plant with a total installed production capacity of 862,000 MT of billets per year which is expected to go into commercial operation in January, 2015.

(iii) BSRM Iron & Steel Co. Ltd.: The Company indirectly holds 29.629% shares in BISCO which manufactures M.S.Billets of different qualities.

Product Mix:

SI Product’s Name Sales Contribution Percentage

1 Angles 2,604,315,788 30.27

2 Deformed Bar 1,860,789,324 21.63

3 XTREME 500W 2,558,117,543 29.74

4 Others 1,579,192,352 18.36

Total 8,602,415,008 100%

Production Capacity & Current Utilization

Particulars As on 31 Dec 2013

MS Rod, Angle Channel etc 89.01%

Net Profit after Tax

Period Amount

Jan’ 12- Dec’ 12 453,924,187

Jan’ 13- Dec’ 13 788,701,611

Jan’ 14- Sep’ 14 (9 months) 207.6 mn

Disclosed Dividend:

Year 2013 2012 2011 2010 2009

Div. ----- 15% C 100% B 15% C 15% B

Year End: December

Issue date of Prospectus: December 29, 2014

Lock-in Free of Pre-IPO share:

All Pre-IPO shares are subject to lock-in for 3 years from the issue date of prospectus.

Issue Manager: Alliance Financial Services Limited

Price 40 47 54 61 68 75 82 89 96

PE 25 30 34 38 43 47 51 56 60