KUALA LUMPUR (Oct 28): Ranhill Holdings Sdn Bhd is seeking to raise up to RM600 million through a public issue of up to 375 million new shares under its reverse takeover (RTO) of Symphony House Bhd.

The RTO exercise would pave the way for the back-door listing of the group on the Main Market of Bursa Malaysia, following its failed initial public offering attempt in July 2013 on disclosure transgression issues.

In a draft prospectus displayed on the Securities Commission Malaysia (SC) website, the group said it plans to use more than half or RM320 million of the issuance proceeds to repay borrowings of Ranhill Powertron Sdn Bhd's outstanding Islamic medium term notes and sukuk ahead of schedule. 

Another 19% or RM116 million of the proceeds will be set aside to settle the proposed remaining Ranhill Water Technologies (Cayman) Ltd (RWT (Cayman)) acquisition, RM89 million or 14.8% for working capital, and RM75 million or 12.5% as investment into RWT (Cayman) for water business projects in China.

Under the RTO, Ranhill will offer up to 475 million shares in the company comprising an offer for sale of up to 100 million Ranhill shares and a public issue of up to 375 million new shares, representing up to 50.5% of its enlarged issued share capital.

On the institutional offering, Ranhill said it involves the offering of up to 354.18 million shares. Retail offering will see the issuance of 120.82 million shares, or 12.8% of the enlarged issued share capital. 

On the completion of the proposed offering, Symphony House will transfer its listing status to Ranhill, with the listing of its entire enlarged issued share capital of up to RM941 million comprising 941 million Ranhill shares.

Ranhill saw its net profit grow to RM104.24 million for the financial year ended Dec 31, 2014 (FY14) from RM93.17 million in FY12. Revenue also climbed to RM1.29 billion in FY14 from RM1.16 billion in FY12.

The promoters comprise its executive director Tan Sri Hamdan Mohamad, Hamdan (L) Foundation, Hamdan Inc Labuan Pte Ltd, Lambang Optima Sdn Bhd and Ranhill Corp Sdn Bhd.

In mid-2014, Ranhill was set up as a special purpose vehicle to undertake the RTO of Symphony House, which will see the former injecting RM800 million worth of water and power assets into the latter.

Ranhill and Symphony House had initially expected to obtain approvals for the exercise in November 2014, for Ranhill to list on the local bourse in February this year. However, this was delayed.