KUALA LUMPUR: Radium Development Bhd made its trading debut on the Main Market of Bursa Malaysia at 35 sen a share, which was 15 sen or 30% lower than its initial public offering (IPO) price of 50 sen.
The stock saw over 12 million shares done, making it the most actively traded counter on Bursa Malaysia.
According to the property developer, it aims to utilise its proceeds of RM434mil from the IPO by shoring up its Kuala Lumpur landbank for future development.
The company has earmarked RM171mil or 39% of its proceeds for the expansion of its land bank and development expenditure and RM109.30mil or 25% for the group’s hotel construction within one of its residential developments.
According to Radium, all its projects are located in Kuala Lumpur and that they were fully sold, including those launched at the height of the Covid-19 pandemic in 2020.
Radium targets to distribute no less than 30% of its net profits to shareholders in each financial year as annual dividends.