Leong Hup targeted to raise up to RM1.2bil from its IPO that includes an offer for sale of shares held by existing shareholders and the issuance of new stocks.
KUALA LUMPUR: Leong Hup International Bhd
's institutional price and final retail price has been fixed at RM1.10 per share.
Maybank Investment Bank said on Tuesday the price was fixed after the completion of the bookbuilding process under the institutional offering on May 3. The retail offering closed at 5pm on the same day.
Maybank IB, as the stabilising agent for the initial public offer (IPO), said the shares may be subject to stabilising agent.
It could buy an aggregate of up to 140.62 million shares to undertake the stabilising action within the 30-day period after the listing.
Leong Hup targeted to raise up to RM1.2bil from its IPO that includes an offer for sale of shares held by existing shareholders and the issuance of new stocks.
The IPO involves the offer for sale of 937.5 million shares or 25.68% of the company. This excludes an over-allotment option that could increase the public shareholding spread to 29.54%.
The IPO comprises an offer for sale of 687.5 million shares by existing shareholders – the Lau family and private equity firm Affinity Equity Partners – and the issuance of 250 million new shares at RM1.10 each.
Of the total amount to be raised, RM275mil will go to the company. Leong Hup said RM207.7mil, or 75% of the amount, would be set aside for business expansion.
The Philippines is the biggest recipient of the proceeds from the IPO, followed by Vietnam (RM47mil) and Malaysia (RM40.7mil).
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