KUALA LUMPUR (June 8): Liftech Group Bhd on Monday began accepting applications from investors for its shares at 29 sen apiece ahead of the crane manufacturer’s ACE Market listing.
The initial public offering (IPO) is expected to raise a little under RM23 million for the company, according to its prospectus. Liftech’s managing director Ng Sea Kai and executive director Eng Peng Hong, meanwhile, will together pocket RM4.58 million from an offer for sale of their shares through the IPO.
Applications will close on June 16, and listing has been tentatively scheduled for June 30.
Based in Puchong, Selangor, Liftech manufactures industrial lifting and handling equipment such as overhead cranes, gantry cranes and goods hoists. The group also provides maintenance and repair services, as well as trading of crane components, accessories and related equipment.
As at May 10, the company had an unbilled order book of RM41.6 million that will be recognised over the next six to nine months.
Liftech plans to utilise RM13.75 million or 59.8% of the IPO proceeds to repay bank borrowings previously undertaken to finance the acquisition of operational facilities in Bukit Minyak, Penang and Kota Kinabalu, Sabah.
Another RM1.72 million has been earmarked for the purchase of machinery and equipment for its Taiping factory to enhance production capacity and automation, while RM1.01 million will be used to renovate and upgrade facilities and office space.
The company has also allocated RM2 million for working capital, mainly for the purchase of steel materials, components and accessories used in manufacturing activities. The remaining RM4.5 million will be used to defray listing expenses.
At the IPO price of 29 sen per share, Liftech is expected to have a market capitalisation of RM91.3 million upon listing.
For the financial year ended Dec 31, 2025, Liftech posted a net profit of RM6.86 million on revenue of RM57.86 million, compared with a net profit of RM6.58 million on revenue of RM57.66 million a year earlier.
M&A Securities is the adviser, sponsor, underwriter and placement agent for the IPO, while Wyncorp Advisory Sdn Bhd is the corporate finance adviser.