Tengku Datin Paduka Setia Zatashah (left) and Lau posing for a photo during the balloting of successful applications yesterday.
KUALA LUMPUR: Sabah-based Kim Teck Cheong Consolidated Bhd’s (KTC) public issue of which 142 million new ordinary KTC Shares were reserved for application by the Public has been oversubscribed, with the balloting of successful applications made yesterday.
The balloting results was signed off by KTC’s independent non-executive director, Tengku Datin Paduka Setia Zatashah Sultan Sharafuddin Idris Shah.
The public issue of KTC shares involves 34 million new shares reserved for application by the public, 16.255 million shares made available for eligible employees and persons who have contributed to the success of the KTC Group; and 91.745 million new shares reserved for placement to selected investors. The placement agent has confirmed that the 91.745 million new shares made available for placement to selected investors have been fully placed out.
A total of 13,867 applications for 1.586 billion new shares with a value of RM237.97 million were received from the Malaysian public for a total of 34 million new shares reserved for public subscription, which represents an overall oversubscription rate of 45.66 times. KTC said this is the highest oversubscription rate for the Public Category of an Initial Public Offering for 2015 to date.
“I am proud and honoured to see such an overwhelming response for our IPO, and am thankful to everyone’s confidence in us,” commented executive director Dexter Lau at the balloting ceremony.
“Moving forward, we will continue to drive and maintain our strong business fundamentals and performance and deliver results to our stakeholders.”
Equipped with over 77 years of industry experience, the business has been successfully managed by the Lau family and it continues to expand its business presence and branding throughout East Malaysia.
Today, KTC is one of the largest Consumer Package Goods (CPG) distributors in East Malaysia with 6419 sales and distribution points. KTC’s core business focuses on providing market access and coverage of CPG including F&B products, personal care products, household products, baby care products, OTC drugs and health supplements.
To note, 17 million new shares have been set aside for allotment under the Bumiputera category, which represents 50 per cent of the shares offered for public subscription while the balance of new KTC shares were allotted under the Public category.
A total of 7,054 applications for 731.814 million new shares were received for the Bumiputera category, which represents an oversubscription rate of 42.05 times while under the Public category 6,813 applications for 854.686 million new shares were received representing an oversubscription rate of 49.28 times.
All Notices of Allotment for these IPO Shares will be mailed to successful applicants on or before November 23, 2015. The listing of KTC Shares on the ACE Market of Bursa Malaysia Securities Bhd is scheduled for November 25, 2015.