PETALING JAYA: 5E Resources Holdings Bhd’s initial public offering (IPO) saw solid investor interest ahead of its listing on the ACE Market of Bursa Malaysia, with its public tranche oversubscribed by 7.04 times.
In a filing with Bursa Malaysia, the company said it received 10,374 applications from the Malaysian public for 618.7 million shares, compared with the 77 million shares available.
This translated into applications worth about RM160.9mil.
Demand was stronger from non-bumiputra investors, where the portion was oversubscribed by 10.61 times, while the bumiputra segment saw a 3.46 times oversubscription rate.
Shares allocated to eligible persons, amounting to 35 million units, were fully subscribed.
Meanwhile, the institutional and placement tranches also saw full take-up.
A total of 192.5 million shares reserved for bumiputra investors approved by the Investment, Trade and Industry Ministry were fully placed out, along with 154 million shares allocated to selected investors.
Overall, 336.4 million placement shares were distributed to 209 investors, with the top 10 placees accounting for 52.1% of the placement tranche.
Additionally, the IPO forms part of 5E Resources’ plan to list its enlarged share capital of 1.54 billion shares on the ACE Market.
Furthermore, the level of subscription reflects healthy investor appetite for the offering, supported by full take-up across all investor categories, including retail, eligible persons and institutional investors.
