KUALA LUMPUR (July 27): Unique Fire Holdings Bhd, which is slated to be listed on Bursa Malaysia’s ACE Market next Friday (Aug 5), said its initial public offering (IPO)’s public portion has been oversubscribed by 5.08 times.

The group, which manufactures fire protection systems, equipment and accessories for the built environment, said it received 2,508 applications seeking 121.5 million new shares for the 20 million new shares made available for the Malaysian public under its initial public offering (IPO).

Under the Bumiputera public portion, 1,481 applications for 55.26 million new shares were received, which represents an oversubscription rate of 4.53 times. For the remaining Malaysian public portion, 1,027 applications for 66.24 million new shares were received, which represents an oversubscription rate of 5.62 times.

Meanwhile, it said eight million new shares available to the eligible directors, employees and persons who have contributed to the success of the group have been fully subscribed.

Its sole private placement agent for the IPO, Alliance Islamic Bank Bhd, also confirmed that 5.75 million new shares made available for application by way of placement to selected investors have been fully placed out.

Another 50 million new shares made available for application by way of placement to Bumiputera investors approved by the Ministry of International Trade and Industry (MITI) have also been fully subscribed and clawed back pursuant to the clawback and reallocation provisions set out in the prospectus dated June 29, 2022.

The group added that notices of allotment will be posted to all successful applicants on or before Aug 3, 2022.

Unique Fire’s IPO entails a public issue of 83.75 million new shares as well as an offer for sale of 30 million existing shares at an issue and offer price of 26 sen apiece.

The group expects to raise RM21.78 million from the listing exercise, of which it has earmarked RM6 million for the expansion of its geographical coverage — a new sales office with a warehouse in Penang and Johor respectively — and RM2.5 million for the expansion of its manufacturing facilities.

Another RM5.3 million will be set aside for the expansion of its operational capabilities, RM4.58 million for working capital, while remaining RM3.4 million will be used to fund the listing expenses.

Based on Unique Fire’s enlarged share capital of 400 million shares and the issue price of 26 sen per share, the company is expected to have a market capitalisation of RM104 million upon its listing on the ACE Market.