KUALA LUMPUR (May 12): Integrated facilities management service provider GFM Services Bhd plans to raise RM18.14 million via a private placement of 115.08 million shares to fund future investments to grow further its business as well as for the group’s working capital requirements.

This marks its second cash call this year after it completed a private placement in April involving up to 20% of its issued shares that it proposed in April last year. That placement raised RM11.17 million, also to fund its future business projects and for working capital.

In a filing with Bursa Malaysia on Thursday (May 12), for illustration purposes, GFM said half of the placement shares or 57.54 million shares are intended to be placed out to third party investors.

Another 25% or 28.77 million shares are intended to place out to its executive vice-chairman Ruslan Nordin, while the remaining placement shares are to be placed out to its managing director Mohammad Shahrizal Mohammad Idris and non-independent non-executive director Zainal Amir, at 12.5% each.

The 115.08 million placement shares represent 20% of the total issued shares in the company. The issue price shall be fixed at a later date. Based on the illustrative issue price of 15.76 sen, it would raise RM18.14 million.

The proposed private placement is expected to be completed in the fourth quarter of 2022.

GFM’s share price closed down one sen or 5.13% at 18.5 sen, giving it a market capitalisation of RM106 million.