_20251117124514_theedgemalaysia.jpg&w=1920&q=75)
KUALA LUMPUR (Nov 17): Geohan Corporation Bhd unveiled its listing prospectus on Monday, seeking to raise as much as RM72.6 million from the Main Market.
The initial public offering (IPO), consisting entirely of a public issue of new shares, is priced at 55 sen a share, according to its prospectus. There is no accompanying offer for sale of existing shares, meaning that existing shareholders are not cashing out their shares.
The IPO is open for applications until Nov 21 and is scheduled for listing on Dec 5.
Based on its IPO price, Geohan will have a market capitalisation of RM242 million.
Geohan, founded in 1996, specialises in foundation and geotechnical works such as piling, slope stabilisation, and other sub-structure services. Its project portfolio includes Genting Highlands’ First World Hotel as well as national infrastructure including the Klang Valley mass rapid transit.
More than half of the IPO proceeds will be channelled towards the expansion of its fleet of machinery by acquiring new rotary boring rigs, crawler cranes, and excavators, to increase its operating capacity and boost its competitiveness as it adds more customers in Singapore.
WATCH: Geohan Corp launches IPO at 55 sen a share
“To support this, we are listing on the Main Market — a move that will strengthen our reputation and credibility, giving us the edge to compete more effectively for contracts and expand our business further on,” managing director Lee Kim Seng said in his speech at the prospectus launch.
The company also set aside 35% of the funds raised as working capital and the rest to defray listing-related expenses.
Lee is also the founder of Geohan and currently owns 54.4% directly and a further 41.4% indirectly through Rogamas Sdn Bhd, a company he jointly controls with his wife Lim Tsui Ning.
Following the IPO, Lee’s direct stake will fall to about 38.07%, while Rogamas will hold an estimated 29.01%. Lee will subsequently transfer a 25.99% stake to Rogamas, which will increase Rogamas’ shareholding to 55%, leaving Lee with about 12.08% directly.
Alliance Islamic Bank is the IPO’s principal adviser, sole underwriter and placement agent.