KUALA LUMPUR (Jan 23): Engineering and energy services firm Serba Dinamik Holdings Bhd, which is en route for a listing on Bursa Malaysia with what has been touted as the biggest initial public offering in 19 months, saw the 26.7 million public allocation of its IPO shares oversubscribed by 4.96 times.

Its joint book runners — RHB Investment Bank Bhd and Affin HWang Investment Bank Bhd — have also confirmed that the institutional offering of 341.3 million IPO shares have been oversubscribed too, it said in a press statement today.

It detailed that the public portion’s oversubscription rate was based on a total of 10,017 applications for 159 million new shares, of which 5,742 applications were for 77.86 million shares for Bumiputera investors, which represents an oversubscription of 4.83 times of the 13.35 million shares it allocated to these categories of investors.

As for the public category, it obtained 4,275 applications for 81.15 million issue shares, which represents an oversubscription rate of 5.08 times.

“Following the completion of the book-building exercise, the institutional price was fixed at RM1.50 per IPO share. Accordingly, the final retail price was also fixed at RM1.50 per IPO share,” said Serba Dinamik.

To be listed on the main market on Feb 8, Serba Dinamik intends to raise gross proceeds of some RM407.1 million from the issuance of 271.4 million new  shares, the bulk of which will be used to expand its business.  

Serba Dinamik had, on Dec 30, 2016, announced that its IPO entails the offering of 389.4 million shares, comprising an offer for sale of some 118 million existing shares and the issuance of 271.4 million new shares.