Matang's IPO oversubscribed by 4.21 times

-A +A

KUALA LUMPUR (Jan 6): MCA-linked Matang Bhd, en route to list on the ACE Market of Bursa Malaysia on Jan 17, saw its initial public offering (IPO) oversubscribed by 4.21 times.

In a statement today, the plantation company said it received a total of 6,389 applications for 676.66 million new shares with a value of RM87.97 million from the public for 130 million new shares available for subscription.

"For the public portion, a total of 3,343 applications for 409.98 million new shares were received, which represents an oversubscription rate of 5.31 times.

"For the bumiputera portion, a total of 3,046 applications for 266.68 million new shares were received, which represents an oversubscription rate of 3.1 times," it added.

Matang said the notice of allotment will be dispatched to all successful applicants before Jan 13.

Matang is looking to raise RM16.9 million from its IPO, via the issuance of 130 million new shares at an issue price of 13 sen per share, representing 7.18% of its enlarged issued share capital and valuing it at RM235.3 million upon listing.

MCA-owned Huaren Holdings Sdn Bhd is currently Matang's largest shareholder with a 10.91% stake, while Rohua Sdn Bhd holds 1.18%, indicating that MCA has an indirect holding of 12.09% in Matang with the remaining 87.91% owned by 18,627 shareholders.