KUALA LUMPUR (Dec 12): Ocean Fresh Bhd is offering 50.05 million shares representing 23.81% of its enlarged issued share capital in an initial public offering (IPO) as it seeks to list on the ACE Market of Bursa Malaysia, according to its prospectus exposure on Bursa Malaysia on Tuesday.

The frozen seafood products company said the 50.05 million shares comprise a public offering of 10.51 million shares via balloting, of which half will be set aside for Bumiputera investors.

Meanwhile, 1.71 million shares will be allocated for eligible parties and another 37.83 million shares for private placement to selected investors. 

According to the prospectus, the group intends to use the IPO proceeds to expand its storage space by setting up a new cold storage facility and to finance its working capital.  

“Throughout our years of operation, we have cultivated business relationships with a wide network of customers comprising both local and international customers. 

“Currently, our international customers are from various countries including Turkiye, China, Thailand, Vietnam, Japan, Indonesia, the Philippines, Singapore, Korea, Italy, Portugal, the US and Australia,” it said. 

Ocean Fresh is principally involved in the processing and trading of frozen seafood products.

On the financial front, Ocean Fresh has reported a steady increase in net profit for the past three financial years.

The group posted a net profit of RM5.58 million for the financial year 2022 (FY2022), with a revenue of RM156.33 million, up from a net profit of RM4.02 million for FY2021, with a revenue of RM158.47 million. In FY2020, it posted a net profit of RM2.4 million, underpinned by revenue of RM94.06 million.

KAF Investment Bank Bhd is the principal adviser, sponsor, underwriter, and placement agent for the IPO.