Kuala Lumpur, April 3 – Building contractor Inta Bina Group Berhad) has today signed an Underwriting Agreement with M&A Securities Sdn Bhd”) in conjunction with its initial public offering exercise to list on the ACE Market of Bursa Malaysia Securities Bhd.
Signing on behalf of Inta Bina Group is Paul Lim Ooi Joo, the Managing Director while M&A Securities is represented by its Managing Director of Corporate Finance, Datuk Bill Tan.
“The signing of the Underwriting Agreement with M&A Securities brings Inta Bina Group another step forward in its IPO exercise. Inta Bina Group is grateful to have M&A Securities for its wealth of experience and expertise in the role as an Adviser, Sponsor, Underwriter and Placement Agent for the Company’s IPO exercise all of which are invaluable to the Company in achieving the listing status” said Lim.
Lim attributed the Company’s success to its established track record, management’s experience and industry knowledge, commitment to quality as well as good and established working relationship with clients.
Since 2005, Inta Bina Group has participated in more than 50 CONQUAS assessed projects and 4 QLASSIC assessed projects. CONQUAS and QLASSIC are recognised and accepted benchmarking tools to measure the quality of building projects among the industry players in Malaysia. CONQUAS is assessed by the Building and Construction Authority Singapore whereas QLASSIC is assessed by CIDB.
Inta Bina Group has received the greenlight from Bursa Securities for its IPO, which will involve the issuance of 107.05 million new shares in Inta Bina Group representing 20% of the enlarged share capital.
Of the 107.05 million new shares, 26.76 million new shares will be made available to the Malaysian public via balloting; 20.01 million new shares for its eligible Directors and employees; 53.53 million new shares have been reserved for private placement to selected Bumiputra investors approved by MITI while the remaining 6.75 million new shares are earmarked for private placement to selected investors.
As part of its listing exercise, the existing shareholders of the Company will also make an offer for sale of 26.76 million shares to selected investors by way of private placement.
Proceeds from the IPO will be used mainly for capital expenditure to purchase various machineries and equipment to support the Company’s business expansion and to replace the fully depreciated equipment; repayment of bank borrowings and general working capital requirements which will be used to finance Inta Bina Group’s day-to-day operations for its on-going and future projects.
Commenting on the IPO exercise, Tan said the listing will undoubtedly put Inta Bina Group in a favourable position to capture future growth opportunities in the real estate construction industry in Malaysia.
“The outlook for the real estate construction industry is positive in the immediate term and is expected to post moderate growth. The industry is expected to benefit from government-led initiatives and spending particularly on affordable housing schemes,” he added.
Inta Bina Group is scheduled to be listed on the ACE Market of Bursa Securities by second quarter of 2017.
M&A Securities is the Adviser, Sponsor, Underwriter and Placement Agent for the IPO exercise.