Inta Bina to raise RM26.76m from IPO

KUALA LUMPUR: Construction firm Inta Bina Group Bhd, which is en-route for listing on the ACE Market of Bursa Securities, is aiming to raise RM26.76 million through its initial public offering (IPO).
Speaking to reporters at the prospectus launch today, group managing director Paul Lim said the listing exercise will be instrumental for the group to embark on bigger projects.
Of the total proceeds raised, 35.73% or RM9.56 million will be used as working capital for the next one to two years while 33.63% or RM9 million will be used to pay bank borrowings.
In addition to that, 18.68% or RM5 million will be deployed as capital expenditure (capex), of which a portion will be invested into Industrialised Building System, which Lim said is key for reducing reliance on foreign manpower.
The remaining 11.96%or RM3.2 million will be used to foot listing expenses.
Inta Bina's orderbook stood at RM486.16 million as at March 31, with RM297.48 million comprising residential projects.
The group, which has submitted bids for projects with the likes of Sime Darby and MK Land has a tenderbook of RM434.05 million for the period between Jan 1 and March 31.
For its IPO, Inta Bina will be issuing 107.05 million new shares at an issue price of 25 sen per share, of which 26.76 million will be made available to the Malaysian public via balloting while 20.01 million shares are allotted for its directors and employees.
The listing is tentatively scheduled for May 25 and M&A Securities Sdn Bhd has been appointed as the advisor, sponsor, underwriter and placement agent for the IPO exercise.