Life Water Bhd managing director Liaw Hen Kong (left) and MIDF Amanah Investment Bank Bhd deputy chief executive officer Datuk Seri Nur Julie Gwee Ariff (right).
PETALING JAYA: Beverage manufacturer Life Water Bhd has signed an underwriting agreement with MIDF Amanah Investment Bank Bhd in conjunction with its initial public offering (IPO) on the Main Market of Bursa Malaysia.
In a statement, the company said its IPO entails a public issue of 97.56 million new ordinary shares and an offer for sale of 28.39 million existing ordinary shares.
Of the 97.56 million issue shares, 23.66 million shares will be made available for application to the Malaysian public; 14.20 million will be for eligible directors, employees and persons who have contributed to the success of the company and its subsidiaries; 560,000 shares made available by way of private placement to selected investors and the remaining 59.15 million shares will be made available by way of private placement to identified Bumiputera investors approved by the Ministry of Investment, Trade and Industry.
Pursuant to the underwriting agreement, MIDF Investment will underwrite a total of 37.86 million shares, being the portion that will be made available for application to the Malaysian public and made available for application to the eligible directors, employees and persons who have contributed to the success of the company and its subsidiaries.
The gross proceeds from Life Water's IPO have been allocated for significant business expansion initiatives, supplement working capital requirements, and defray listing expenses.
These include the purchase of an additional drinking water manufacturing line for its Sandakan Sibuga Plant 1, and the establishment of a new manufacturing plant, Sandakan Sibuga Plant 2, with an estimated built-up area of 50,000 sq ft comprising both factory and office spaces.
The company also plans to enhance its existing plastic packaging facilities in Kota Kinabalu, with KK IZ8 Plant 1 to be converted into a dedicated plastic packaging manufacturing plant to support its beverage operations.
Furthermore, Life Water plans to set up a second distribution centre in Sandakan, with a depot for its delivery truck fleet, as the current warehousing space is fully utilised. These expansions are aimed at supporting future production growth and enhancing operational efficiency across its beverage options.
Life Water is a beverage manufacturer specialising in the manufacturing and distribution of drinking water and carbonated drinks, primarily serving the Sabah market. The company’s operations are supported by its plastic packaging manufacturing and distribution channels, which enhances its overall business efficiency.
Headquartered in Sandakan, Life Water also operates production facilities in both Sandakan and Kota Kinabalu, with strategically located distribution centres in Sandakan, Kota Kinabalu and Lahad Datu to ensure efficient delivery across the region.
MIDF Investment is the principal adviser, underwriter and placement agent to Life Water for the listing exercise.
