Friday 14 Jun 2024
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KUALA LUMPUR (Nov 29): TSA Group Bhd, a supplier of industrial hardware products that also manufactures stainless steel pipes and metal products, has inked an underwriting agreement with AmInvestment Bank Bhd for its upcoming initial public offering on the ACE Market of Bursa Malaysia.

Its IPO involves a public issue of 77.325 million new shares, which are equivalent to 25% of the group's expanded share capital, the group said in a statement.

Of these, 15.465 million shares are for application by the Malaysian public, with another 15.465 million allocated for its eligible employees; 38.663 million shares will be for placement to Bumiputera investors approved by the Ministry of Investment, Trade, and Industry (Miti), with the remaining 7.733 million to be placed to selected investors.

AmInvestment will underwrite the 30.930 million shares set aside for the Malaysian public and eligible employees, said TSA. AmInvestment is also the principal adviser, sponsor and placement agent for the IPO, proceeds of which will be used for TSA's capital expenditure, working capital, repayment of bank borrowings and listing expenses.

TSA managing director Chew Kuan Fah said the underwriting deal represents a significant milestone for the group as it moves closer to becoming a publicly traded company in Malaysia.

“We are excited with the listing on the ACE Market, which will enhance our visibility and reputation in the industry and enable our stakeholders to participate in the growth and continued expansion of our business.

“With our strong track record in the trading of stainless steel and other metal products (30 years) as well as a manufacturer of stainless steel pipes (15 years), we are confident that our next phase of growth is a step towards value creation for our stakeholders,” he said.

"This corporate milestone will upscale our group to new heights by strengthening our balance sheet, tapping into new opportunities and meeting the growing demand in the industry,” Chew added.

Edited ByTan Choe Choe
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