KUALA LUMPUR: Butterfield FB Bhd’s initial public offering (IPO) has been oversubscribed by 18.7 times ahead of its ACE Market debut on Sept 15.
The coffee and tea extract powder blends manufacturer, in a statement, said it received 12,670 applications for 786.67 million shares worth about RM377.6mil for the 40 million shares offered to the Malaysian public.
The Bumiputera public portion was oversubscribed by 21 times, with 7,773 applications for 439.61 million shares, while the other public portion was oversubscribed by 16.4 times.
The 16 million shares allocated to eligible directors, employees and other persons who contributed to the group’s success were fully subscribed.
Meanwhile, 94 million new shares allocated to Bumiputera investors approved by the Investment, Trade and Industry Ministry and 66 million existing shares offered to selected investors have also been fully placed.
Butterfield FB’s IPO comprises a public issue of 150 million new shares, or 18.8% of its enlarged share capital, at 48 sen each, raising RM72mil.
It also involves an offer for sale of 72 million existing shares, equivalent to 9% of its enlarged share capital.
Executive director and chief executive officer Lee Mong Khai said the IPO response reflected investor confidence in the group’s growth prospects and operational capabilities.
“With the proceeds raised, we are well-positioned to accelerate our strategic growth plans, expand our Bukit Minyak premises, install our fourth manufacturing line, and continue to innovate and expand our product range,” he said.
“Separately, in line with growing market trends and the rising popularity of matcha, we have introduced a dedicated manufacturing line for matcha powder blends, with a production capacity of 312 tonnes annually, which commenced operations in February 2026 as part of our ongoing business strategy,” Lee said.
Butterfield FB, which manufactures coffee and tea extract powder blends, operates in Malaysia and Thailand.
Upon listing, Butterfield FB is expected to have a market capitalisation of about RM384mil based on its IPO price and enlarged share capital of 800 million shares.
M&A Securities Sdn Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.
