Ikhmas Jaya's IPO to raise RM72m

KUALA LUMPUR: Piling and engineering specialist Ikhmas Jaya Group Bhd, which is en route to a listing on the Main Market of Bursa Malaysia, expects to raise RM71.82 million through its initial public offering (IPO).
The group's IPO entails an offer for sale of 56 million existing shares and a public issue of 126 million new shares, of which 26 million new shares will be made available to the Malaysian public at an issue price of 57 sen per share.
Of the RM72 million proceeds raised, RM31.8 million will be used for the purchase of construction equipment, RM5 million for purchase of machinery and equipment for manufacturing of prefabricated building system, RM12 million for repayment of bank borrowings, RM18 million for working capital and RM5 million to cover listing expenses.
The company is expected to be listed on the local bourse on July 27.
Its principal activities are in engineering and construction, which it involved in piling and foundation works, bridge construction, building construction and other civil works.