PETALING JAYA: Spring Art Holdings Bhd has signed an underwriting agreement with M&A Securities Sdn Bhd for its initial public offering (IPO) exercise on the ACE Market of Bursa Malaysia.
The ready-to-assemble furniture products designer and manufacturer is scheduled to be listed by November.
It said in a statement that M&A Securities will underwrite a total of 24.94 million new shares made available for the Malaysian Public and its eligible directors and employees as well as persons who contributed to the success of Spring Art.
The IPO exercise involves the issuance of 97.69 million new shares representing about 23.5% of its enlarged share capital.
Of the 97.69 million new shares, 20.78 million shares will be made available to the Malaysian public via balloting; 4.16 million shares for its eligible directors and employees as well as persons who have contributed to the success of the group; and the remaining 72.75 million shares for private placement to selected Bumiputera investors approved by Ministry of International Trade and Industry Malaysia and selected investors.
Spring Art’s existing shareholders will also make an offer for sale of 27.02 million shares by way of private placement to selected investors.
The IPO proceeds will be used mainly to support its existing business and to expand its production capacity.
M&A Securities is the adviser, sponsor, underwriter and placement agent for the IPO exercise.
