KUALA LUMPUR (July 10): Bathroom and kitchen sanitary ware solutions provider Sorento Capital Bhd said it has secured approval from Bursa Malaysia for an initial public offering (IPO) on the ACE Market, which it targets to take place by the fourth quarter of 2024.
Sorento’s IPO will entail a public issuance of 155 million new shares, and an offer for sale of up to 74 million existing shares. This will represent 26.62% of the company’s enlarged issued share capital of 860 million ordinary shares.
“This IPO approval signifies a crucial milestone for our company, granting us access to the equity capital market as we embark on our next stage of growth. With the proceeds from the listing exercise, we intend to strengthen our existing dealer support, expand our network of dealers, grow project-based sales and elevate brand recognition through investments in branding and marketing activities in Malaysia,” said Sorento’s managing director Loo Chai Lai in a statement on Wednesday.
Sorento, through its subsidiaries, is principally involved in the marketing, distribution and sale of bathroom and kitchen sanitary wares. Its house brands include the flagship ‘Sorento’, along with ‘Mocha’, ‘Cabana’ and ‘i-Born’.
Sorento is also the authorised distributor for foreign luxury third-party brands of bathroom and kitchen sanitary ware products, including the non-exclusive distributorship of the German brand "Bravat" and the exclusive distributorship of the Spanish brand "Infinity" in Malaysia.
Alliance Islamic Bank Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO exercise.