SkyeChip IPO oversubscribed 95 times ahead of Main Market debut


KUALA LUMPUR: SkyeChip Bhd’s initial public offering (IPO) has been oversubscribed by 95.03 times ahead of its listing on the Main Market of Bursa Malaysia on May 20.

SkyeChip is a fabless integrated circuit (IC) design company specialising in silicon intellectual properties (IPs) and silicon products.

Malaysian Issuing House Sdn Bhd (MIH) said the public issue of 35.92 million shares made available to the Malaysian public received 74,453 applications for 3.45 billion shares, resulting in an overall oversubscription rate of 95.03 times.

“This translates to a total demand of RM3.04bil, making it the largest ever since Petronas Chemicals Group Bhd’s IPO in 2010,” it said.

For the Bumiputera public portion, 16,647 applications were received for 668.27 million shares, representing an oversubscription rate of 36.21 times.

Meanwhile, the public portion for other Malaysian investors attracted 57,806 applications for 2.78 billion shares, translating into an oversubscription rate of 153.86 times.

The 99.41 million shares allocated to eligible directors, employees and contributors to the group were fully subscribed.

Under the institutional offering, the 264.67 million shares offered to institutional and selected investors were also fully subscribed.

MIH said 22 cornerstone investors subscribed for 155 million shares, representing 58.6% of the institutional offering.

The participating cornerstone investors included Khazanah Nasional Bhd, Employees Provident Fund Board, Lembaga Tabung Haji, Lembaga Tabung Angkatan Tentera, Great Eastern Life Assurance (M) Bhd and JPMorgan Asset Management (Singapore) Ltd.

The remaining 109.67 million institutional shares offered via bookbuilding attracted demand for 4.36 billion shares, representing an oversubscription rate of about 38.76 times.

The institutional price and final retail price for the IPO shares were fixed at 88 sen apiece.

SkyeChip’s IPO involves the issuance of 400 million new shares.

Maybank Investment Bank Bhd is the principal adviser, lead bookrunner, joint bookrunner, managing underwriter and joint underwriter for the IPO, while CIMB Investment Bank Bhd is the joint bookrunner and joint underwriter.

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