KUALA LUMPUR (Dec 9): Orkim Bhd (KL:ORKIM) made marginal gains on its debut on the Main Market of Bursa Malaysia on Tuesday, outperforming the nearly flat broader market.
The stock opened flat at its initial public offering (IPO) price of 92 sen, fluctuating between an intra-day low of 86.5 sen and a high of 95 sen. It eventually settled at 93 sen, just 1% higher, with more than 60.37 million shares changing hands. The FBM KLCI in comparison was up by 0.09%.
At the closing price, Orkim — previously fully owned by Ekuiti Nasional Bhd (Ekuinas) — is valued at RM930 million.
“Orkim’s presence in maritime logistics and energy transition [is] in supporting the national energy spirit ensuring that food, material, and opportunities flow safely and reliably across the region,” said Minister of Finance II Datuk Seri Amir Hamzah Azizan during his speech at the listing ceremony.
Demand was strong during its IPO with applications from public investors coming in nearly 12 times above the number of shares available for subscription. The separate offering for institutional investors was also fully taken up.
The IPO raised RM368 million, of which RM92 million of the proceeds went to the company for new vessel acquisition, including chemical and clean petroleum product tankers, and as working capital.
Orkim currently operates 18 vessels with a combined capacity of 239,186 deadweight tonnage — transporting gasoline, diesel, gas oil, jet fuel, naphtha, and kerosene, as well as liquefied petroleum gas such as propane and butane.
“Our course is clear, to lead Malaysia’s marine transportation industry with excellence and purpose,” said Orkim chairman Datuk Abdul Hamid Sh Mohamed in his speech at the listing gallery.
Ekuiti Nasional, a state-owned private equity firm also known as Ekuinas, pocketed RM276 million. Ekuinas retains a 60% stake post-listing.
CIMB Investment Bank is the IPO’s principal adviser, joint bookrunner, managing underwriter and joint underwriter. RHB Investment Bank acts as joint bookrunner and joint underwriter, with Affin Hwang Investment Bank also serving as a joint underwriter.
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