PETALING JAYA: BWYS Group Bhd’s initial public offering (IPO) has been oversubscribed by 48.51 times ahead of its listing on the ACE Market of Bursa Malaysia on July 22.
In a statement, the sheet metal products manufacturer and scaffolding supplier said its IPO comprised 1.03 billion ordinary shares, featuring a public issue of 256.30 million new ordinary shares at an issue price of 22 sen per share.
“This represents 25% of the enlarged share capital, with RM56.39mil expected to be raised from the public issue. In addition, there is an offer for sale of 100 million existing shares by way of private placement to selected investors,” it said.
BWYS said it had received 23,223 applicants for a total of 2.54 billion issue shares with a value of approximately RM558.35mil for the 51.26 million issue shares allocated to the public, representing an overall oversubscription rate of 48.51 times.
For the bumiputra portion, 13,205 applications for 1.22 billion issue shares were received, representing an overall oversubscription rate of 46.71 times.
As for the public portion, 10,018 applicants were submitted for 1.32 billion issue shares, resulting in an oversubscription rate of 50.31 times.
“The 61.51 million issue shares available for application by the eligible directors and employees, as well as persons who have contributed to the success of the company have been fully subscribed.”
Meanwhile, the 15.38 million issue shares and 100 million offer shares by way of a private placement to selected investors, as well as the 128.15 million issue shares by way of private placement to bumiputra investors approved by the Investment, Trade and Industry Ministry have also been fully placed out.
With a 25-year track record in the sheet metal industry, BWYS and its subsidiaries manufacture a wide range of sheet metal products including roofing sheets and trusses, industrial racking systems and welded pipes, under their own brands BW, Metech, YS Tube, YS and Vtruss.
The group is also engaged in the supply of scaffoldings and the trading of steel materials and steel-related products.
“Boasting eight strategically located operational facilities across Malaysia and holding the Construction Industry Development Board or CIDB accreditation for its scaffoldings, the group demonstrates a strong market presence and commitment to quality in the local construction industry,” it said.
Upon listing, BWYS will have a market capitalisation of approximately RM225.55mil. M&A Securities Sdn Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO exercise.