Pan Merchant gears up for ACE Market listing in Q2
KUALA LUMPUR: Pan Merchant Bhd has signed an underwriting agreement with Affin Hwang Investment Bank Bhd as the sole underwriter for the group's initial public offering (IPO) ahead of its ACE Market listing in the second quarter of 2025.
The IPO exercise entails 250.2 million ordinary shares in Pan Merchant, comprising 232.2 million new shares and 18.0 million offer-for-sale shares.
The total number of shares represents 27.3 per cent of the enlarged share capital.
Of the new shares, 114.5 million will be offered to Bumiputera investors and 57.3 million will be allocated to selected investors, both via private placement.
A total of 45.8 million new shares will be offered to the Malaysian public via balloting, and 14.6 million new shares will be made available for application by eligible directors, employees and contributors to the group.
"We are pleased to have Affin Hwang on board, supporting us with their experience and market insights in our IPO journey," managing director Wong Voon Ten said in a statement today.
"As we embark on this IPO, we are eager to tap into the opportunities the capital market offers to drive our next phase of growth with our listing status," he added.
Pan Merchant provides filtration solutions for industries such as edible oil refining, sustainable fuel production, food processing and water treatment.
Its operations cover Malaysia, Singapore, the Netherlands and the United States, with three manufacturing facilities spanning 4.05 hectares in Ipoh, Perak.
Proceeds from the IPO will primarily be used for capital expenditure, including the acquisition of new machinery, equipment, and tools, as well as renovation of the group's manufacturing plants to enhance operational capacity and efficiency.
A portion of the funds will also be allocated for product development, business expansion, working capital and estimated listing expenses.
Affin Hwang is the principal adviser, sponsor, sole placement agent, and sole underwriter for the group's IPO.
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