25th April, 2013

Press Release

INITIAL PUBLIC OFFERING (IPO) OF DUNGSAM POLYMERS LIMITED

Press Release No. DHI/M&PR/1b/2013/331


Thimphu, 24 April 2013: Druk Holding and Investments (DHI) will be making its first divestment since incorporation in 2007. DHI has decided to divest 49% of its stake in its wholly owned subsidiary, Dungsam Polymers Limited (DPL). The Dungsam Polymers Limited was set up in 2010 in Nganglam to manufacture polypropylene bags for supply to Dungsam Cement Corporation Limited. The construction of DPL was completed in March 2012, and since then the company has been manufacturing PP bags and selling them in the neighboring states in India. The company will start operating at full capacity once DCCL starts producing cement. DPL has an installed capacity to produce 100,000 bags per day.

The main objective of the issue is to provide the general public the opportunity to participate in the ownership of the company. All the capital raised through the issue will be retained with the company and used to retire some of its long term debt.

The shares are being offered for subscription at Nu. 165 per share, i.e. at a premium of Nu. 65 per share on a face value of Nu. 100. The share application opens on25 April 2013 and closes on 24 May 2013. The abridged prospectus can be downloaded from here.

For more information please contact: 
Media & PR Unit, DHI 
02-336257/58 ext 145