KUALA LUMPUR (Oct 22): Tile and stone surface distributor BMS Holdings Bhd signed an underwriting agreement with Alliance Islamic Bank Bhd on Wednesday, as part of its initial public offering (IPO) on the ACE Market of Bursa Malaysia.
BMS, which is engaged in the retail, wholesale and project sales of tiles and stone surfaces, targets to list on the ACE Market in the fourth quarter of 2025.
The group is raising funds to expand its retail and distribution footprint, upgrade its facilities and equipment, and adopt real-time, centralised data access across its showrooms and distribution centres.
Alliance Islamic Bank is the principal adviser, sponsor, sole placement agent and sole underwriter for the group’s IPO exercise.
In a statement, the group said its IPO exercise encompasses a public issuance of 364 million new shares and an offer for sale of 156 million, representing a combined 33.77% of its enlarged share capital.
Out of the 364 million new shares, 77 million new shares will be made available to the Malaysian public via balloting, 61.6 million to eligible persons, 188.9 million for selected investors via private placement, and 36.5 million for Bumiputera investors via private placement.
Meanwhile, the offer for sale portion will be offered to selected investors through private placement.
“With Alliance Islamic Bank’s support, we are confident of executing a successful IPO that will enable us to scale our operations and facilities, strengthen our nationwide retail network, and further diversify our product offerings to meet evolving customer needs,” said BMS Holdings managing director Ang Kwee Peng in a statement.
BMS had its start in 1993 under Jubin 1990, before it expanded into new markets and segments.
Its product portfolio includes porcelain and ceramic tiles, natural and engineered stone surfaces, mosaic tiles, as well as bathware and kitchenware products.
Proceeds from the IPO will be partly used to set up new showrooms in Negeri Sembilan, Selangor and Kuala Lumpur, and a new distribution centre in the Klang Valley, besides purchasing electric-vehicle forklifts and upgrading existing facilities such as its retail outlets in Kota Damansara, Kepong and Klang.
The remainder of the funds will also be allocated for marketing expenses and working capital.
Ang noted that these investments are integral to driving the company’s long-term growth, as well as strengthening their position in the industry.