RT Pastry-KAF Investment Bank ink underwriting agreement for ACE Market IPO


From left: Leou Thiam Lai, Independent Non-Executive Chairman of RT Pastry Holdings; Lu Chun-Neng, Executive Director cum Group CEO ; Rohaizad Ismail, CEO of KAF Investment Bank; Ahmad Fazlee Aziz, Head of Corporate Finance

KUALA LUMPUR: RT Pastry Holdings Bhd (RT Pastry) has signed an underwriting agreement with KAF Investment Bank Bhd for its initial public offering (IPO) and subsequent listing on Bursa Malaysia’s ACE Market.

The pastry and bakery products manufacturer is slated to list on the ACE Market by the second quarter of this year.

In a statement today, it said the IPO involves the issuance of 91.54 million new ordinary shares, or 27 per cent of the enlarged issued share capital.

"Of the total new shares, 16.96  million will be made available to the Malaysian public, while 6.78 million will be allocated to eligible directors, employees and other contributors.

"A further 42.38 million will be placed out to private placement to identified Bumiputera investors approved by the Investment, Trade and Industry Ministry, and 25.42 million to institutional and selected investors,” it said.

Executive director and group chief executive officer Lu Chun-Neng said the IPO will provide the platform for the company to expand its retail network and upgrade manufacturing capabilities.

"It ensures the group continue to deliver the ‘heart’ behind every pastry to our loyal customers and new investors alike,” he said.

According to RT Pastry, the IPO proceeds are earmarked to include the opening of new outlets, purchase of new machinery and equipment, and to repay bank borrowings, which will support the group’s long-term growth and operational efficiency

KAF Investment Bank wil be the principal adviser, sponsor, underwriter and placement agent for the exercise. - Bernama

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