Malakoff IPO institutional offer oversubscribed 13 times

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KUALA LUMPUR (Apr 30): Malakoff Corp Bhd, the country's largest independent power producer by total generation capacity, saw its initial public offering's (IPO) institutional tranche of 1.28 billion shares oversubscribe by 13 times.

In a statement today, Malakoff said its retail offering involving 242.5 million shares was also oversubscribed.

"The 335.34 million shares made available to the public was oversubscribed by 1.24 times," it said.

Meanwhile, eligible directors and employees of the Malakoff group, including those of MMC Corp Bhd, oversubscribed the 24.83 million shares available to them by 0.21 times.

MMC eligible shareholders also oversubscribed the 131.5 million available issue shares by 0.83 times.

The company’s IPO is also anchored on 12 cornerstone investors who have subscribed for an aggregate of 553.8 million IPO shares.

At RM1.80 per share for its IPO, Malakoff will have a market capitalisation of RM9 billion when it lists on the Main Market of Bursa Malaysia on May 15, 2015.

Malakoff’s IPO comprises over 1.52 billion shares which are expected to raise RM2.74 billion. The total offering of up to 1.75 billion shares, including over-allotment option is expected to raise RM3.15 billion.

“We are delighted with the overwhelming response from investors during the bookbuilding process. We believe that we present a compelling investment proposition and as testament to investors’ confidence in our business, our IPO offering has been so well-received,” said Malakoff chief executive officer, Datuk Seri Syed Faisal Albar in the statement.