KUALA LUMPUR (Feb 10): Sunway Healthcare Holdings Bhd said on Tuesday it expects to unveil the prospectus for its listing on the Main Market by end-March.

The hospital operator has also signed an agreement with Maybank Investment Bank, AmInvestment Bank, Affin Hwang Investment Bank, CIMB Investment Bank, RHB Investment Bank and Kenanga Investment Bank to underwrite its initial public offering (IPO), the company said in a statement.

“We are grateful for the support of the six banks acting as our joint underwriters for our IPO, which reinforces our confidence as we take this next step forward,” said Sunway Healthcare president Datuk Lau Beng Long.

The proposed IPO involves an offer for sale of up to 1.39 billion existing shares and a public issue of 575 million new shares. Institutional investors are allocated 1.62 billion shares while 345 million shares will be made available to retail investors.

All in all, the listing will offer investors up to a 17.1% stake in the company that owns over 1,800 beds nationwide. Its flagship quaternary facility, the Sunway Medical Centre in Sunway City Kuala Lumpur, is the country’s largest private hospital with 848 beds.

Sunway Healthcare is seeking to raise funds to help finance an expansion drive that will cost over RM1.6 billion. A new 401-bed hospital in Iskandar Puteri, Johor, alone will cost RM766 million, according to its draft prospectus filed with the Securities Commission Malaysia.

Sunway Healthcare is also upgrading existing facilities in a slew of projects estimated to cost nearly RM850 million. The aim is to more than double its capacity to over 3,400 beds by 2032, Sunway Healthcare said.

Existing shareholders Sunway Bhd (KL:SUNWAY) and Singapore’s sovereign wealth fund GIC will pocket the proceeds from the sale of their existing shares in Sunway Healthcare. GIC owns a 16% stake in Sunway Healthcare, which will be shaved to 7.5% post-IPO.

Maybank Investment Bank and AmInvestment Bank are the joint principal advisers, joint global coordinators, joint bookrunners, joint managing underwriters and joint underwriters for the IPO.