PETALING JAYA: Chemlite Innovation Bhd, a specialist in surface finishing treatment services, recently completed the balloting process for its initial public offering (IPO) in conjunction with its listing on the ACE Market of Bursa Malaysia Securities.
The IPO involves a public issue of 120 million new shares at 25 sen per share – 30 million issue shares made available for application by the Malaysian public; 21 million issue shares reserved for application by eligible directors and employees as well as persons who have contributed to the success of Chemlite Innovation and its subsidiary (eligible persons); 54 million issue shares by way of private placement to identified institutional and/or selected investors; and 15 million issue shares by way of private placement to identified Bumiputera investors approved by the Ministry of Investment, Trade and Industry (Miti) – and an offer for sale of 60 million shares by way of private placement to identified Bumiputera investors approved by Miti.
Chemlite Innovation said in a statement that 30 million issue shares are offered to the Malaysian public through a balloting process, of which 15 million, representing 2.5% of the enlarged issued share capital of the company, are set aside for Bumiputera investors.
A total of 9,288 applications for 882.279 million issue shares with a total value of RM220.569 million were received from the Malaysian public, representing an overall oversubscription rate of 28.41 times.
For the Bumiputera portion, a total of 4,843 applications for 381.162 million issue shares were received, representing an oversubscription rate of 24.41 times. Meanwhile, for the public portion, a total of 4,445 applications for 501.116 million issue shares were received, representing an oversubscription rate of 32.41 times.
In addition, the 21 million issue shares made available for application by eligible persons have been fully subscribed.
The placement agent has confirmed that the 54 million issue shares made available by way of private placement to identified institutional and/or selected investors have been fully placed out. Similarly, the 75 million IPO shares (comprising 15 million issue shares and 60 million offer shares) made available by way of private placement to identified Bumiputera investors approved by MitiI have been fully subscribed.
Chemlite Innovation executive director Chong Yuen Fong said the strong demand for their shares is a testament to investor confidence in the company’s business model, technical capabilities and growth potential.
“With the funds raised, we are well positioned to enhance our production capabilities, invest in research and development as well as expand our service offerings to better cater to our customers across various industries,” he added.
UOB Kay Hian Securities (M) Sdn Bhd iss the principal adviser, sponsor, underwriter and placement agent for Chemlite Innovation.
