From left: M&A Securities Sdn Bhd deputy head Danny Wong Weng Leong and MD of corporate finance Datuk Bill Tan, and West River Bhd MD Stanley Lim, non-executive chairman Datuk Seri Dr Shahril Mokhtar and executive director Victor Cheong (Photo by Suhaimi Yusuf/The Edge)
KUALA LUMPUR (April 10): Engineering firm West River Bhd is now taking applications from investors for its initial public offering (IPO) on the ACE Market.
Priced at 39 sen per share, the IPO is expected to raise up to RM41.85 million, according to its prospectus released on Thursday. The listing offers investors up to a 30% stake in the company from a public issue of 71.54 million new shares and an offer for sale of 35.77 million existing shares.
The offering will close on April 17, 2025, and listing has been scheduled for May 5, 2025.
West River specialises in mechanical-and-electrical engineering, air-conditioning and ventilation systems, and building solutions catering to various sectors, including commercial, industrial, and infrastructure industries.
Funds raised from the IPO have been earmarked for expansion and infrastructure, including to part-finance the acquisition of land costing RM5.81 million, and the construction of a new factory to improve production and inventory management.
West River is also setting aside RM5.60 million from the proceeds for the repayment of borrowings to strengthen its balance sheet. The company will also use RM7.80 million for general working capital purposes and the rest to cover listing-related expenses.
All in all, the public issue is expected to raise RM27.90 million for West River.
“We are well-positioned to drive West River towards greater innovation, expansion, and long-term success” in the mechanical and electrical engineering sector, managing director Lim Yong Lai said in a statement.
Meanwhile, the offer for sale through private placement to select investors will gross as much as RM13.95 million, which will accrue entirely to the selling shareholder, Neutron Capital Sdn Bhd, which is fully controlled by Lim.
M&A Securities is the principal adviser, sponsor, underwriter and placement agent for the IPO.
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