CBH Engineering aims to raise up to RM83.4mil in IPO
KUALA LUMPUR: CBH Engineering Holding Bhd, a mechanical and electrical (M&E) engineering service provider, is set to list on the ACE Market of Bursa Malaysia on Jan 16, 2024.
The mechanical and electrical (M&E) engineering service provider
aims to raise RM83.4 mil through its initial public offering (IPO) at an issue price of 28 sen per share.
“We are proud to celebrate a significant milestone today with the successful launch of our prospectus, marking the beginning of our journey toward listing on the ACE Market of Bursa Securities.
“This upcoming listing represents a transformative step, enabling us to strengthen our operations, expand our team, and seize new opportunities within the growing M&E engineering services industry,” managing director Cheah Boon Hwa said in a statement.
Of the RM83.4mil to be raised from the upcoming IPO, the majority will fund business expansion. RM38.5 mil, or 46.2%, will go towards purchasing equipment and components for future projects, while RM17.3mil, or 20.7%, will be set aside for bank guarantees for upcoming projects.
Additionally, RM18.5mil (22.2%) will be used towards the payment to subcontractors for future projects, while RM3.5mil (4.1%) will be set aside towards the recruitment of engineers and other personnel. The remaining RM5.7mil (6.8%), will be used to defray listing expenses.
With an enlarged issued share capital of 1.88 billion shares and an IPO price of 28 sen per share, CBH is set to have a market capitalisation of RM526.7 mil upon listing.
Following the prospectus launch, applications for the public issue are open from today and will be closed on Jan 2, 2025 at 5:00 pm.
Mercury Securities Sdn Bhd is the principal adviser, sponsor, sole underwriter and sole placement agent for the IPO exercise.
……Read full article on The Star Online - Business
Malaysia Business Entertainment
Comments
Leave a comment in Nestia App