KUALA LUMPUR (July 12): TopVision Eye Specialist Bhd (KL:TOPVISN) has filed for an initial public offering (IPO) on ACE Market as part of the medical eyecare company’s transfer from the LEAP Market and raise fresh funds for expansion.
The proposed IPO comprises entirely of a public issue of 54.22 million new shares, representing up to a 17.5% stake in the company, at a price to be determined later, according to its draft prospectus posted to Bursa Malaysia. There is no separate sale of existing shares.
Funds raised from the IPO will be used to part-fund the establishment of its international eye specialist centre that costs an estimated RM16 million, TopVision said. The entire gross proceeds totalling RM12.02 million from its listing on the LEAP Market have since been fully utilised, it noted.
Part of the proceeds will also go towards adding ambulatory care centres in Kuala Terengganu and Tawau, the company said. TopVision currently has 10 such centres that provide healthcare services on an outpatient basis throughout Peninsular Malaysia.
The company expects to start its operations in Kuala Terengganu by the second quarter of 2025 and Tawau by the end of next year. TopVision is also in the midst of setting up a centre in Mentakab by this year end, though it would be funded by internally generated funds or through bank borrowings.
TopVision have 10 resident doctors and two consultant doctors who are experienced ophthalmologists in Malaysia who perform a range of eye specialist services from diagnosis and treatment to medical and surgical procedures. The company’s doctors are supported by eight optometrists and 30 nurses.
Under the public issue, TopVision will allocate 15.49 million new shares to the Malaysian public and 4.8 million shares to eligible persons. The company is also setting aside 33.93 million new shares for institutional and select investors through private placement.
Proceeds from the IPO will also be used to buy six new of the so-called phacoemulsification machines, used to emulsify and remove cataractous or cloudy lens from patient's eye during surgery, TopVision said. The rest will be used to defray estimated listing expenses.
TopVision is currently controlled by founder Datuk Kenny Liew Hock Nean and his wife Dr Angela Loo Voon Pei, and Dr Peter Chong Kuok Siong and his spouse Soong Yoke Voon. The four of them collectively hold close to 72%, which will be diluted to a little under 60% post-IPO.
Liew is currently the executive chairman while his wife Loo is a consultant doctor in TopVision. Chong is the chief executive officer while Soong is the chief operating officer.
In the last financial year ended Dec 31, 2023, Top Vision booked a net profit of RM4.72 million on a revenue of RM49.96 million.
The company ventured into the glove distribution business in December 2021 during the Covid-19 pandemic and invested about RM450,000 with the acquisition of Novel Glove International Sdn Bhd before disposing the business for just RM10,000 just a year later.
Hong Leong Investment Bank is the IPO’s principal adviser, sponsor, sole underwriter and sole bookrunner.