KUALA LUMPUR (Oct 2): Worker recruitment and management company Manforce Group Bhd (KL:MFGROUP) has filed its draft prospectus for its planned transfer from the LEAP Market to the ACE Market. Funds raised will go towards expanding recruitment quotas, upgrading IT systems, working capital, and listing-related expenses.
According to its prospectus, the initial public offering (IPO) will involve a public issue of 79.9 million new shares and an offer for sale of 19.9 million existing shares, according to the draft prospectus filed with Bursa Malaysia.
In total, the listing will offer investors a 25% stake in the company, which has been traded on the LEAP Market since December 2018.
Manforce is a one-stop workforce management services and solutions provider, specialising in foreign worker recruitment and management, as well as project cleaning services.
Of the 79.9 million new shares, 19.9 million will be offered to the Malaysian public, with half allocated to bumiputera investors. Another 10 million will go to eligible persons, 29.9 million to Bumiputera investors approved by the Ministry of Investment, Trade and Industry (Miti) via private placement, and the balance to selected investors by private placement.
The offer for sale, meanwhile, will be conducted via private placement to Miti-approved Bumiputera investors.
Proceeds from the public issue will be used for business expansion through new recruitment quotas, enhancement of IT systems, working capital, and expenses related to the listing transfer.
Funds raised from the offer for sale will accrue entirely to the sole selling shareholder, managing director Datuk Wong Boon Ming.
For the financial year ended Feb 28, 2025, Manforce's profit after tax surged more than 73% to RM10.2 million from RM5.87 million a year earlier, on higher revenue of RM181.1 million versus RM145.5 million previously, while margins also expanded.
M&A Securities is the principal adviser, sponsor, underwriter and placement agent for the IPO.