KUALA LUMPUR: Winstar Capital Bhd has signed an underwriting agreement with TA Securities for its initial public offering (IPO) and planned listing on the ACE Market of Bursa Malaysia Securities Bhd.

In a statement today, Winstar Capital said the IPO will offer 73.95 million ordinary shares, comprising a public issue of 56.55 million new shares and an offer for sale of 17.40 million existing shares.

This represents 25.5 per cent of its enlarged issued share capital of 290 million ordinary shares.

Of the 56.55 million new shares, 14.50 million will be open for application by the Malaysian public, while 15.95 million will be allocated to eligible directors, employees, and contributors to the group’s success.

The remaining 26.10 million new shares will be offered through a private placement to selected investors.

Winstar Capital chief executive officer Vincent Chua Boon Hong said the partnership with TA Securities brings the company closer to its IPO goal.

"This comes at an opportune time as we are ready to take advantage of the vast opportunities and vibrancy in Malaysia’s renewable energy, construction and property development industry.

"Our diversified portfolio of customers spans from construction companies, property developers, aluminium products manufacturers, and whole-sellers to solar photovoltaic industry engineering, procurement, construction and commissioning companies in Malaysia," he said.

Winstar Capital plans to use part of the IPO proceeds to acquire four additional aluminium extrusion lines with a combined capacity of 8,580 tonnes per annum.

These new lines, to be installed at its factory in Ijok, Selangor, are expected to increase the company's total manufacturing capacity from 6,705 tonnes to 15,285 tonnes per annum. - Bernama