KUALA LUMPUR (April 2): Big Caring Group Bhd, Malaysia's largest pharmacy chain operator backed by private equity firm Creador, has filed for an initial public offering on the Main Market of Bursa Malaysia.

According to its draft prospectus exposed on the Securities Commission website on Thursday, the group intends to use the IPO proceeds to significantly reduce debt incurred from recent high-profile acquisitions and finance a new automated distribution centre.

The group, which operates the BIG Pharmacy and CARiNG Pharmacy chains, is led by the husband-and-wife team of Lee Meng Chuan and Lim Sin Yin. Lee is the group managing director cum group CEO, while Lim is an executive director with the group.

Both trained pharmacists, they opened their first retail outlet in Damansara Uptown in 2006. Since then, the group has grown rapidly, fuelled by a combination of organic growth and strategic acquisitions, including the merger with RedCap Pharmacy in 2018 and My Pharmacy in 2019. It then acquired CARiNG Pharmacy from 7-Eleven Malaysia Holdings Bhd (KL:SEM) in 2023.

As at Jan 31, 2026, Big Caring Group’s borrowings totalled RM1.3 billion, with an average interest cost of 5.2% per annum (as at June 30, 2025).

The bulk of this debt is a RM831.3 million term loan, used primarily for its RM888.33 million acquisition of Caring Pharmacy Group Sdn Bhd and its RM249.4 million purchase of an 89.3% stake in Medispec (M) Sdn Bhd, a pharmaceutical distributor. The group also spent RM32.8 million on a 57.1% stake in physiotherapy chain Your Physio Sdn Bhd.

The company said paring down its revolving credit and term loan facilities should generate substantial interest savings and strengthen its balance sheet for future growth.

The Big Caring Group now operates 626 outlets under several established brands. Besides BIG Pharmacy and CARiNG Pharmacy, it has outlets under the Georgetown Pharmacy, Wellings and Ting Pharmacy brands.

Going forward, it plans to open 40 to 50 new outlets annually over the next three to five years. This expansion will be supported by a new distribution centre, as its existing Bukit Raja facility — currently running at 61% utilisation — is expected to reach full capacity within five years. The new centre will feature advanced automation for inbound handling and pallet storage.

The IPO will comprise an institutional offering of 1.614 billion shares and a retail offering of 267.64 million shares. Pricing will be determined at a later date.

The listing offers up to 25.5% of the enlarged share base of the company, of which up to 17.5% are from the selling shareholders. The bulk of the offer-for-sale comes from Creador, which is paring its stake by 11.7%, and the founders, who are offering a 5.1% stake in the company.

Post-listing, the founders will see their indirect stake, held via Uptown Paradise Sdn Bhd, be reduced from 42.9% to 34.4%. They will retain their direct shareholdings (which will be diluted from 8% to 7.3% for Lee, and 4% to 3.7% for Lim).

Iris Pallida Sdn Bhd (IPSB), a special purpose vehicle of Creador, will see its stake reduced from 33.7% to 19.4% post‑listing. But IPSB may divest a further 3.1% stake if an over-allotment option for price stabilisation is fully exercised, which could see its post-listing holding fall to 16.3%. Creador first entered the fray when RedCap Pharmacy merged with BIG Pharmacy in 2018.

The Big Caring Group recorded a net profit of RM143.02 million on revenue of RM3.41 billion for the financial year ended June 30, 2025. Same-store sales growth grew to 9.6% in FY2025 from 7.3% in FY2024.

The group has appointed Maybank Investment Bank and RHB Investment Bank as the joint principal advisers, joint global coordinators, joint bookrunners, joint managing underwriters and joint underwriters for its IPO.

AmInvestment Bank will serve as joint principal advisers, joint global coordinators, joint bookrunners and joint underwriters, while UBS will serve as joint global coordinators and joint bookrunners.