KUALA LUMPUR (Aug 12): Evocom Bhd has signed an underwriting agreement with NewParadigm Securities as the courier firm eyes an ACE Market listing in the third quarter.
Under the agreement, NewParadigm will take up any unsubscribed shares allocated to the Malaysian public via balloting, Evocom said in a statement on Wednesday.
“The signing of this underwriting agreement represents an important milestone in Evocom’s listing journey,” said Evocom chief executive officer Ian Tan.
Based in Selangor, Evocom provides staffing and network support services for e-commerce and logistics activities including last-mile delivery, transhipment, and parcel shipment. Evocom also holds a licence to provide domestic and international inbound courier services.
The company plans to develop applications that provide real-time visibility for artificial intelligence driven workforce planning and management. Part of the IPO proceeds will go into expanding its air freight transhipment business and setting up a new warehouse and office in Nilai.
“As Malaysia’s e-commerce ecosystem continues to evolve, we see increasing opportunities to support our customers through technology-driven and scalable supply chain solutions,” said Tan, who is also Evocom’s founder.
The IPO also includes an offer for sale of existing shares and proceeds raised will accrue to Tan, whose stake will decline to 63% from 91%.
In 2024, Evocom made a net profit of RM6.19 million on revenue of RM209.41 million, according to its draft prospectus. Flexible staffing contributed 81% to revenue, with network support making up the remaining 19%.
NewParadigm Securities is the principal adviser, sponsor, sole underwriter, and placement agent for the IPO.