Sitara Petroleum Service Limited (SPSL) has successfully concluded its book-building phase on May 5, 2026, with the strike price determined at PKR 18.90 per share – the upper limit of the price band – reflecting strong and decisive institutional demand. The IPO was oversubscribed 7 times the offered size, marking a landmark achievement for Pakistan’s capital markets.
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With the conclusion of this IPO, Sitara Petroleum Service Limited’s offering becomes the third largest IPO in PSX history, trailing only Interloop and Airlink. The offering attracted investor interest of over PKR 11.7 billion, highlighting the depth of demand from institutional investors and high-net-worth individuals.
| Key IPO Metric | Detail |
|---|---|
| Strike Price | PKR 18.90 per share (upper price band) |
| Oversubscription | 7x |
| Investor Interest | PKR 11.7 billion+ |
| Total Shares Offered | 279.9 million |
| Post-IPO Stake | 16.66% of paid-up capital |
| PSX Ranking | 3rd largest IPO ever (after Interloop & Airlink) |
IPO Structure and Proceeds
The IPO comprises a total offering of 279.9 million shares, representing 16.66% of the company’s paid-up capital. The book-building portion has now been successfully completed, while the general public portion remains fully underwritten, ensuring completion of the overall offering.
Including the earlier pre-IPO placement of PKR 1.67 billion, the total transaction size stands at up to PKR 4.8 billion, positioning it among the most notable IPOs in recent years.
| Transaction Component | Amount |
|---|---|
| Pre-IPO Placement | PKR 1.67 billion |
| IPO Proceeds | Up to PKR 3.175 billion (public portion) |
| Total Transaction Size | Up to PKR 4.8 billion |
Use of Proceeds
The proceeds from the IPO will be deployed to support the company’s next phase of growth, including:
- Addition of approximately 50 new fuel stations
- Expansion of logistics fleet by around 50 oil tankers
About Sitara Petroleum Service Limited
Sitara Petroleum Service Limited (SPSL) operates one of Pakistan’s leading fuel station management and logistics platforms, with a current network of:
- 61+ fuel stations
- 320+ oil tankers
The company derives the majority of its revenues from dealer commissions, complemented by a growing logistics and carriage services segment catering to oil marketing companies.
Next Steps
The public subscription phase is expected to proceed as scheduled, after which Sitara Petroleum Service Limited will be listed on the Pakistan Stock Exchange (PSX).
About Sitara Petroleum Service Limited
Headquartered in Lahore, Sitara Petroleum Service Limited is engaged in fuel trading, distribution, retail, and petroleum logistics. The company is positioning itself for transition into a full-fledged Oil Marketing Company (OMC) in the coming years.
About Arif Habib Limited
Arif Habib Limited acted as the lead manager and book runner to the issue, successfully orchestrating one of the largest and most successful IPOs in PSX history.
