KUALA LUMPUR (Jan 12): One Gasmaster Holdings Bhd, which specialises in gas monitoring and piping services, is seeking to raise about RM23.25 million from its listing on the ACE Market.
The initial public offering (IPO) is priced at 25 sen per share, according to its prospectus unveiled on Monday. The company will receive RM19.38 million from the public issue of new shares while current shareholders will be pocketing RM3.88 million from an offer for sale of existing shares.
Applications for the IPO will close on Jan 16 and listing is scheduled for Jan 27.
WATCH: One Gasmaster sets IPO price at 25 sen
Headquartered in Selangor, One Gasmaster also provides industrial hygiene service as well as maintenance and calibration services. The company serves customers in industries ranging from oil and gas to food and beverage.
One Gasmaster is expected to be valued at RM77.5 million upon listing. About RM3.8 million or 19% has been allocated for its business expansion into emission control solutions, which includes acquiring new instruments and hiring two new senior project engineers.
Meanwhile, 25% has been earmarked for setting up new branch offices in Johor, Terengganu, and Penang, while another 26% was allocated for working capital for its existing operations.
The remainder will be used for setting up a new calibration laboratory in its new Damansara office and to defray listing-related expenses.
There is increasing regulatory attention on emissions, stronger environmental, social and governance commitments from global and local companies, One Gasmaster managing director Ivan Tan Kean Yok said in his speech at its prospectus launch.
“These trends play directly into our strengths, and we believe One Gasmaster is well positioned to meet these growing needs,” he said.
Tan will remain a major shareholder while his wife Tan Bee Sien will reduce her stake from 13.6% to 5.2% under the offer for sale. She does not hold any executive role in the listed company.
Malacca Securities is the principal adviser, sponsor, underwriter and placement agent for the IPO.