KARACHI – May 8, 2026: The Pakistan Stock Exchange (PSX) has witnessed a high-octane week as the energy sector leads a resurgence in the primary market. Sitara Petroleum Service Limited (SPSL) dominated headlines this week after concluding a record-breaking book-building process, signaling robust investor appetite despite minor volatility in the broader market today.
Sitara Petroleum Shatters Records with 7x Oversubscription
The highlight of the week was the book-building phase for Sitara Petroleum, which took place on May 4 and May 5. The company, a rising star in Pakistan’s oil marketing and logistics landscape, saw its IPO oversubscribed by a massive 7 times.
Institutional and high-net-worth investors placed bids worth over PKR 11.7 billion against the total offering of PKR 4.8 billion. Demand was so intense that the strike price hit the upper cap of PKR 18.90 per share within the first 10 minutes of the bidding period opening.
Key IPO Figures:
- Total Issue Size: 168 million shares (10% of post-IPO capital).
- Strike Price: PKR 18.90 (Maximum 40% band above the floor price of PKR 13.50).
- Public Portion: 42 million shares (25% of the total issue).
- Lead Manager: Arif Habib Limited.
Financial Powerhouse: Why Investors are Bullish
Market analysts attribute the overwhelming response to Sitara’s explosive financial growth. The company reported a revenue jump from PKR 41.2 billion in FY2024 to PKR 121.9 billion in FY2025. More impressively, net profit surged by 1,370%, reaching PKR 3.25 billion in the same period.
The proceeds from this IPO are earmarked for a massive expansion of Sitara’s retail fuel station network and the strengthening of its logistics fleet, which currently supports a significant portion of the country’s fuel distribution.
Public Subscription Alert: May 11–12
While the institutional phase has concluded, the door remains open for retail investors. The general public subscription is scheduled for Monday, May 11, and Tuesday, May 12, 2026.
Investors can participate through:
- PSX’s e-IPO System (PES)
- CDC’s Centralized E-PO System (CES)
- Designated commercial bank branches and mobile wallets (including EasyPaisa and JazzCash integrations).
Broader Market Context
As of today, May 8, the KSE-100 index is trading slightly lower, down approximately 0.71% (around 1,230 points), following a global trend of profit-taking. However, the successful “Sitara Story” has acted as a stabilizer for the energy sector.
Looking ahead, the market is bracing for more listings. Service Long March Tyres is expected to initiate its book-building later this month, aiming for one of the largest industrial IPOs in recent years. With the Finance Ministry’s recent launch of the Capital Market Development Fund, 2026 is shaping up to be a historic year for new listings on the PSX.
Investor Note: Retail investors are encouraged to verify their CDC sub-accounts and ensure their “Investor Account” status is active on the e-IPO portal before the May 11 deadline.
