KUALA LUMPUR: Industrial space solutions provider AME Elite Consortium Bhd has signed a retail underwriting agreement with CIMB Investment Bank Bhd and RHB Investment Bank Bhd for its initial public offering (IPO) on the Main Market of Bursa Malaysia.
Under the IPO, AME will be issuing 85.4 million new shares to the public, which represents 20% of the group’s enlarged share base of 427.1 million shares, according to its statement today.
Of the entire public issuance, 8.5 million shares will be open to application by the Malaysian public and 8.5 million shares for eligible directors and employees. Meanwhile, 19.2 million shares will be allocated for application by Malaysian institutional and selected investors, and 49.1 million shares for bumiputra investors approved by the Ministry of International Trade and Industry.
In addition to the public issuance, there will be an offer for sale where 42.7 million existing shares are offered to Malaysian institutional and selected investors.
The proceeds from the IPO will be used primarily for capital expenditure and working capital, and to cover listing expenses.
Established since 1995, AME provides end-to-end industrial space solutions, encompassing the design-and-build of large plants, development of industrial parks, as well as the sale and lease of industrial factory units. It serves clients from various sectors including aerospace, automotive, electronics, logistics, consumer and food, among others.
AME has completed around 200 industrial buildings and manufacturing plants to date. It has also completed the construction of three industrial parks in Johor, namely i-Park @ SiLC, i-Park @ Indahpura (Phase 1 and 2), and District 6. The Group is also currently constructing i-Park @ Senai Airport City in Johor.
Barring unforeseen circumstances, AME is expected to be listed in the fourth quarter this year.