PETALING JAYA: Wasco Bhd
has obtained approval from the Securities Commission (SC) for the proposed spin-off listing of its renewable energy arm, Wasco Greenergy Bhd.
Greenergy is mainly engaged in building biomass energy systems that use agricultural waste as boiler fuel, as well as power plants that employ natural gas to generate steam to drive turbines and produce electricity.
According to its prospectus exposure released in July, the initial public offering (IPO) will involve 150 million shares, comprising an offer for sale of up to 75 million shares by Wasco and Tema Energy Ventures Sdn Bhd, and a public issue of 75 million new shares.
This represents 30% of Greenergy’s enlarged issued share capital of 500 million shares.
In a filing with Bursa Malaysia, Wasco said 62.3% of the IPO proceeds will go towards expansion via investments, acquisitions and strategic partnerships in biomass steam power plant ownership and operations, while 5.7% will be allocated for its Indonesian expansion.
The remainder will be used for capital expenditure, digitalisation of business systems, research and development, and listing expenses.
Greenergy currently owns a 100% stake in Wasco AgroTech Sdn Bhd and a 60% stake in Wasco Thermal Sdn Bhd (WTSB).
As part of a pre-IPO restructuring, Greenergy will acquire the remaining 40% stake in WTSB from Tema Energy for RM19.3mil, to be satisfied through the issuance of 14.4 million new shares at RM1.34 each.
Following the acquisition, Greenergy will undertake a bonus issue of 295.6 million shares on a pro-rata basis to Wasco and Tema Energy.
Tema Energy’s shareholders include Tee Kian Lim with 26.35%, Teh Khim Choon with 25.18% and Soo Hock Tiong with 22.26%.
