Infoline Tec to raise RM23.7mil from listing exercise

KUALA LUMPUR: Information technology (IT) infrastructure and cybersecurity solution provider, Infoline Tec Group Bhd, en route to a listing on Bursa Malaysia’s ACE Market on July 13, plans to raise RM23.68 million from its initial public offering (IPO) exercise.

In its prospectus, the company said its IPO entails an offering of 96.25 million shares, comprising a public issue of 74 million new shares and offer for sale of 22.25 million existing shares via private placement to selected investors at an issue price of 32 sen per share.

Of the gross proceeds, it proposed to utilise RM8.46 million (35.73 per cent) to set up a technology centre and disaster recovery centre, RM4.30 million (18.16 per cent) to improve the infrastructure of its existing enhance network operations centre, RM4.70 million (19.85 per cent) to set up security operations centre, and RM2.22 million (9.37 per cent) for business expansion.

On the public issue portion, Infoline Tec said 18.16 million new shares will be made available to the Malaysian public while 8.27 million shares will be allocated to eligible directors, employees and persons which have contributed to the success of the company.

It also said 2.17 million new shares will be made available for private placement to selected investors and 45.40 million will be allocated for private placement to identified Bumiputera investors approved by the Ministry of International Trade and Industry.

On its listing on the ACE Market, Infoline Tec is expected to have a market capitalisation of RM116.23 million and an enlarged issued share capital of 363.23 million shares.

The IT company said its board’s policy is to recommend and distribute dividends of up to 30 per cent of its annual audited after-tax profit attributable to the company’s shareholders. - Bernama