KUALA LUMPUR: KEB Bhd's initial public offering (IPO) has been fully subscribed ahead of its listing on the ACE Market of Bursa Malaysia on Nov 16.
The property developer said it received 2,126 applications for 44.47 million shares from the Malaysian public, compared with the 44.12 million shares available.
Of the total, 1,071 applications for 27.31 million shares were received for the Bumiputera portion, while the other Malaysian public portion attracted 1,055 applications for 17.16 million shares.
KEB's IPO comprises 226.78 million shares, consisting of a public issue of 138.54 million new shares and an offer for sale of 88.24 million existing shares.
Managing director Datuk Lim Kim Chong said the response reflected investor confidence in the group's business fundamentals, track record and growth prospects.
"With our ongoing developments, future pipeline and landbank, we believe KEB is well positioned to continue building on the foundation we have established over the past two decades," he said in a statement.
KEB has completed 14 property development projects to date and currently has four ongoing developments with an estimated gross development value (GDV) of RM1.36bil.
It also has two future projects with an estimated GDV of RM382.73mil, bringing the combined GDV of its six projects to RM1.74bil.
The group holds a landbank of approximately 60.01 acres, including a joint venture arrangement with landowners, to support future developments.
Proceeds from the public issue will be used for landbank acquisitions, project development working capital, repayment of bank borrowings and listing expenses.
M&A Securities Sdn Bhd is the principal adviser, sponsor, sole placement agent and sole underwriter, while Eco Asia Capital Advisory Sdn Bhd is the financial adviser for the IPO.
