KUALA LUMPUR: Bina Puri Holdings Bhd is expected to raise up to RM18.12 million from the proposed listing of its 80 per cent-owned indirect subsidiary, PT Megapower Makmur Tbk, on the Indonesia Stock Exchange.
Megapower has proposed to undertake an initial public offering (IPO) involving a public issue of 300 million new shares representing 30.93 per cent of its issued and paid-up capital.
The indicative issue price will range between RM0.0453 and RM0.0604 per share. In a filing to Bursa Malaysia, Bina Puri said proceeds from the listing would be utilised for working capital and repayment of loan from its subsidiary, Bina Puri Power Sdn Bhd (BP Power).
“Proceeds for working capital will be utilised to finance the day-to-day operations of the existing business of Megapower such as employee costs, general administrative and operating expenses,” the company said.
Bina Puri said the proposed listing would enable Megapower to gain direct access to the capital market in Indonesia for cost-effective capital raising in the future as well as to gain recognition and corporate stature.
The listing would also provide an opportunity for investors to participate in Megapower’s continuing growth by way of equity participation, it added. — Bernama