KUALA LUMPUR: AMS Advanced Material Bhd (AMSB), an aluminium specialist, has signed a retail underwriting agreement with M & A Securities Sdn Bhd in conjunction with its initial public offering (IPO) ahead of its proposed listing on the ACE Market of Bursa Malaysia Securities Bhd.
The IPO comprises 113 million new shares, representing about 18.46 per cent of its enlarged share capital, and an offer for sale of 47 million existing shares, it said in a statement.
Of the issue shares, 30.60 million are allocated to the Malaysian public and 2.16 million to eligible persons. Another 76.50 million shares will be placed privately with Bumiputera investors approved by the Ministry of Investment, Trade and Industry, and 3.74 million shares with selected investors.
The 47 million offer shares, equivalent to 7.68 per cent of the enlarged capital, will also be placed privately with selected investors.
M & A Securities will underwrite 32.76 million shares earmarked for the Malaysian public and eligible persons.
Proceeds will fund a new licensed manufacturing warehouse and office in Penang, expansion into aluminium architectural products, a distribution point in Kuantan and repayment of borrowings.
Managing director Keith Keh Teng Yang said the listing would enhance operational efficiency and support long-term growth, citing prospects in aerospace, semiconductor, automotive, construction and consumer segments.
"The listing will strengthen our operational capabilities, enhance efficiency across our processing segment and support our long-term growth plans,” he said.
M & A Securities is the principal adviser, sponsor, underwriter and placement agent for the IPO. - Bernama
