KUALA LUMPUR: CUCKOO International (MAL) Bhd
has entered into an underwriting agreement with RHB Investment Bank Bhd and AmInvestment Bank Bhd in conjunction with its initial public offering (IPO) on the Main Market of Bursa Malaysia.
In a statement, Cuckoo said it will undertake an IPO of up to 365.36 million shares, which includes a public issue of 143.28 million new shares or 10% of the company enlarged issued share capital.
The managing underwriter and joint underwriters will underwrite the retail offering of 42.98 million shares, or about 3% of the company's enlarged issued share capital.
This comprises 28.66 million shares made available for application by the Malaysian public through balloting as well as 14.33 million shares for application by eligible persons.
There will also be an offer for sale of up to 222.08 million existing share, of which up to 179.1 million shares will be allocated to Bumiputera investors approved by the Ministry of Investment, Trade and Industry (Miti).
A further 100.3 million shares and up to 42.98 million offer shares will be allocated to Malaysian and foreign institutional and selected investors (other than Bumiputera investors approved by Miti) and foreign institutional and selected investors outside the United States in reliance on Regulation S.
Cuckoo is principally involved in the trading and rental of home appliances, mattresses and furniture, trading of beauty care products, provision of home care services, and investment holding activities.
According to the group, the proceeds from the IPO ill be utilised for funding product purchases for expansion of rental business, repayment of bank borrowings, capital expenditure for the opening of "Brandshops" and upgrading of IT systems, expansion of Singapore business, as well as estimated listing expenses.
“We believe the IPO will further strengthen our business, enabling us to expand our reach and enhance our ability to serve communities across the nation. As a Healthy Home Creator, we remain dedicated to creating a holistic wellness ecosystem that enriches lives and ensures wellness is within reach for everyone,” said Hoe Kian Choon, mon-ondependent executive director and CEO of Cuckoo Malaysia.
RHB Investment Bank is the sole principal adviser, joint global coordinator, joint bookrunner, managing underwriter, and joint underwriter for the IPO, while AmInvestment Bank is the joint global coordinator, joint bookrunner, and joint underwriter for the IPO.
