KUALA LUMPUR: Building contractor Inta Bina Group Bhd has received the green light from Bursa Malaysia to list on the ACE Market by the second quarter (2Q) of this year.

The initial public offering (IPO) will provide Inta Bina greater financial flexibility to pursue future growth opportunities and enhance its reputation in the marketing of its construction services to expand its customer base in Malaysia, the group said.

It will also help the group retain and attract skilled employees in the construction industry, group managing director Paul Lim Ooi Joo said in a media release.

Inta Bina’s IPO, advised by M&A Securities Sdn Bhd, will involve the issuance of 107.05 million new shares, representing 20% of its enlarged share capital.

Of the 107.05 million new shares, 26.76 million will be available to the Malaysian public to subscribe via balloting and 20.01 million for its eligible directors and employees.

Another 53.53 million new shares have been reserved for selected bumiputera investors, while the remaining 6.75 million are earmarked for private placement to selected investors.

“Proceeds from the IPO will be used primarily for general working capital requirements which will be used to finance Inta Bina Group’s day-to-day operations including the working capital requirements for its future projects,” Inta Bina said.

It added that part of the proceeds will also be used for general working capital expenditure to purchase various machinery and equipment to support the company’s expansion, replace the fully depreciated equipment, as well as repayment of bank borrowings and listing expenses.