KUALA LUMPUR: RedPlanet Bhd has signed an underwriting agreement with UOB Kay Hian (M) Sdn Bhd (UOBKH) for its proposed initial public offering (IPO) and transfer of listing from the LEAP Market to the ACE Market of Bursa Malaysia Securities Bhd.
RedPlanet is an enterprise information and communication technology (ICT) solutions provider specialising in geospatial and intelligent rail solutions.
According to its prospectus, the IPO comprises a public issue of 70.0 million new shares, and an offer for sale of 10 million existing shares by way of private placement to selected investors.
Of the new shares, 20.54 million shares will be allocated to the Malaysian public, and 19.71 million shares will be reserved for eligible directors, employees and persons who have contributed to the success of RedPlanet and its subsidiaries.
It added that 11.52 million shares will be offered by way of private placement to selected investors, and 18.22 million shares will be offered by way of private placement to Bumiputera investors approved by the Ministry of Investment, Trade and Industry (MITI).
"Pursuant to the underwriting agreement, UOBKH will underwrite 40.25 million issue shares of the company, comprising the shares made available for application by the Malaysian public and eligible persons," it said in a statement.
Executive director and managing director Lian Wah Seng said the proposed IPO and transfer of listing are expected to enhance the company's corporate profile, broaden investor participation and provide it with a stronger platform to pursue higher-value ICT projects and support its long-term growth strategy.
Moving forward, RedPlanet intends to undertake higher-value and more complex ICT projects, and expand its intelligent rail solutions offering to include central transmission system solutions.
It also aims to strengthen its research and development efforts, including the development of an artificial intelligence (AI)-powered asset detection tool to enhance automation, accuracy and operational efficiency within its geospatial business.
UOBKH is the principal adviser, sponsor, underwriter and placement agent for RedPlanet. - Bernama
