KUALA LUMPUR: Integrated engineering solutions provider, Oxford Innotech Bhd (OXB), en route to a listing on Bursa Malaysia’s ACE Market, aims to raise RM41.6 million through its initial public offering (IPO).

The IPO price is fixed at 29 sen per share, and the listing is scheduled for July 29, 2025.

Of the total proceeds, the group will utilised RM23.1 million to construct a new factory; purchase or refinance new machineries (RM11.2 million); for general working capital (RM3.3 million); and to defray listing expenses (RM4.0 million).

OXB managing director Ng Thean Gin said the construction of a new factory, which will add another 67,722 square feet (sq ft) of manufacturing area, is slated for completion in 2027. 

While the new factory is under development, he said the company has an additional new capacity ready, covering 39,392 sq ft of manufacturing space, that is expected to commence operation by the third quarter of 2025. 

"With these two additional facilities, our total manufacturing area will increase by 124.9 per cent to 192,896 sq ft from the existing area of 85,782 sq ft," he said in a statement issued after the launch of the company’s prospectus today.

The company will also invest in new machinery to enhance its production capacity and capabilities, he added.

Headquartered in Penang, OXB, through its subsidiaries, offers integrated engineering solutions with an emphasis on precision engineering components solutions, mechanical assembly solutions, as well as automation and robotic solutions.

Its IPO exercise comprises the issuance of 143.5 million new ordinary shares, representing 20.2 per cent of its enlarged issued share capital, and an offer for sale of 50.0 million existing shares, representing 7.0 per cent of the company's enlarged share capital.

Of the 143.5 million new shares, it said 35.5 million shares will be made available for application by the Malaysian public and 27.0 million shares allocated to eligible directors, employees and persons who have contributed to the success of the group.

"The remaining 81.0 million new shares will be offered by way of private placement to selected Bumiputera investors approved by the Ministry of Investment, Trade and Industry (MITI).

As for the offer for sale of 50.0 million existing shares, 7.8 million shares will be made available by way of private placement to selected Bumiputera investors approved by the MITI and 42.2 million shares will be allocated to selected investors by way of private placement, according to the company's prospectus.

OXB will have a market capitalisation of RM205.9 million upon listing based on an enlarged issued share capital of 710.0 million shares.

Applications for the public issue are open from today and will close on July 16, 2025 at 5 pm. 

Malacca Securities Sdn Bhd is the principal adviser, sponsor, underwriter and joint placement agent, while Kenanga Investment Bank Bhd

is the joint placement agent, and WYNCORP Advisory Sdn Bhd is the corporate finance adviser for the IPO exercise.  - Bernama