Dancomech to raise RM18m from proposed IPO

KUALA LUMPUR: Process control equipment and measurements instruments company Dancomech Holdings Bhd plans to raise RM18mil from its proposed listing on the Main Market of Bursa Malaysia.

Under its listing exercise, it said on Thursday it was offering for sale 24 million new shares of 40 sen each at an offer price of 75 sen.

Of the RM18mil, it will use RM6.5mil to buy new offices and stores while RM4.55mil would be used to repay borrowings and RM2.74mil as working capital.

According to its prospectus, of the 24 million new shares, it would offer for sale to public 7.50 million shares while 2.50 million units would be made available to eligible directors and employees while 13.99 million shares would be placed out to approved Bumiputera investors.

The major shareholders will offer sale 16 million existing shares of which 4.63 million will be placed out to approved Bumiputera investors and 11.37 million shares would be placed out to selected investors.