Ace Market-bound i-Stone Group launches prospectus


  • Business
  • Monday, 24 Jun 2019

IPO exercise: Chan and Tee at the prospectus launch.

GELANG PATAH: The Ace Market candidate i-Stone Group Bhd will continue to strengthen its position as one of the leading automation business solutions providers in the region.

Managing director Rebecca Tee Sook Sing said the company which started as a small and medium-sized enterprise in 2007, had grown by leaps and bounds for the past 12 years.

“We will not rest on our laurels and will put in more efforts and hard work to transform and develop the company to the next level,’’ she said on Friday after the launch of the company’s prospectus in conjunction with its initial public offering (IPO).

The company is offering 244.29 million new shares for sale en route to listing representing 20% of the enlarged issued and paid-up capital.

Of the total, 61.1 million units will be offered to the public, 12.2 million shares for eligible directors and employees, 122.1 million shares for approved bumiputra investors and the remaining 48.9 million shares will be placed out.

Additionally, as part of its listing exercise the shareholders will offer for sale 122.1 million existing shares to selected investors by way of a private placement.

Tee said RM6.8mil from the proceeds raised from the exercise would be utilised on a new design and development (D&D) centre at its existing operation centre in Taman Teknologi Johor in Johor Baru.

“The new D&D centre will put us in a good position to better serve our existing customers and attracting new clients in the process,’’ she said.

Tee said work on the 50,000 sq ft centre would probably start next year with a target completion either in the first or second-quarter of 2021.

She added it foresees good growth prospects and business opportunities with the growing demand for automation in the manufacturing sector from the Industry 4.0 trends.Executive director Chan Kok San said part of the proceeds raised from the exercise would be used as capital expenditure on new machineries and software.

“This will enhance our manufacturing capabilities to meet our customers’ demands for higher productivity and efficiency of their manufacturing operations,’ he said.

Chan said it planned to design, develop and manufacture standard modules which could be used for its range of specialised automation machines to reduce manufacturing lead time.

He said the company has about 70 customers with 78% of them being multinational corporations based in Malaysia while the remaining 22% are from Singapore and the Philippines.


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Ace Market , IPO , prospectus , launch , Stone Group , Chan , Tee ,

   

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