KUALA LUMPUR (Jan 26): The public issue of 21.65 million issue shares in ACE Market-bound AGX Group Bhd made available for application by the Malaysian public has been oversubscribed by 15.43 times.
A total of 5,429 applications for 355.66 million issue shares were received from the Malaysian public, representing an overall oversubscription rate of 15.43 times, according to a statement by Malaysian Issuing House Sdn Bhd.
"For the Bumiputera portion, a total of 3,007 applications for 178.98 million issue shares were received, representing an oversubscription rate of 15.53 times, while 2,422 applications for 176.68 million issue shares were received under the other Malaysian public portion, representing an oversubscription rate of 15.32 times," it said.
In addition, the 6.32 million issue shares made available for application by the eligible directors and employees have been fully subscribed.
On top of that, the 68.53 million issue shares and 30 million offer shares that were made available for application by way of private placement have also been fully placed out.
AGX's initial public offering (IPO) comprises a public issue of 96.5 million new shares representing around 22.29% of the group’s enlarged share capital at 35 sen per share, to raise RM33.78 million.
The freight forwarding and aerospace logistics provider’s IPO will also see an offer for sale of 30 million existing ordinary shares or 6.93% of its enlarged share capital.
Post-IPO, AGX’s largest shareholders will comprise its group chief executive officer Datuk Ponnudorai Periasamy (11.54%), as well as executive directors Jayasielan Gopal (11.54%), Penu Mark (17.6%) and Peter Neo Lip Pheng (17.6%).
The listing values AGX at a market capitalisation of RM151.5 million upon the company's listing on Bursa Securities with an enlarged share capital of 432.87 million shares.
At its IPO price, the group is valued at about 11 times its price-earnings ratio based on a net profit of RM13.54 million for FY2022.
Most recently, AGX made a net profit of RM3 million on the back of revenue of RM47.3 million in its third quarter ended Sept 30, 2023 (3QFY2023).
For the nine months ended Sept 30, 2023 (9MFY2023), its net profit came in at RM9.16 million on the back of revenue of RM138.16 million.
AGX is set to be listed and traded on the ACE Market of Bursa Malaysia on Feb 7.