KUALA LUMPUR (Aug 28): Aviation maintenance, repair and overhaul (MRO) services provider GTA Holdings Bhd said the Malaysian public portion of its initial public offering was oversubscribed by 22.16 times, ahead of its scheduled ACE Market debut on Sept 8.
The company received 13,797 applications for 1.5 billion shares worth about RM523.35 million, compared with the 64.57 million shares made available to the Malaysian public.
The Bumiputera portion was oversubscribed by 29.14 times, after GTA received 8,450 applications for 972.95 million shares, while the non-Bumiputera portion was oversubscribed by 15.18 times, with 5,347 applications for 522.34 million shares.
Meanwhile, the 12.91 million shares reserved for eligible directors and employees were fully subscribed, while all 251.52 million shares under the institutional offering have been placed out, according to a statement on Friday.
“We are deeply encouraged by the strong response to our IPO, reflecting investors’ confidence in GTA’s technical capabilities, specialised position and long-term growth strategy,” said managing director and chief executive officer Datuk Nonee Ashirin Mohd Radzi.
“As we prepare for our listing on the ACE Market, our focus remains firmly on executing the strategic initiatives outlined in our prospectus, including establishing a new operating facility, expanding our aviation support capabilities and pursuing targeted regional opportunities,” she added.
GTA's IPO, priced at 35 sen per share, includes a public issue of 205 million new shares to raise RM71.75 million for the company.
Another 124 million existing shares will be offered for sale, which will raise RM43.4 million for the selling shareholders, including Nonee, whose stake in GTA will be reduced to 39.57% from 51% before the IPO.
Based in Selangor, GTA mainly provides MRO services for helicopter and fixed-wing engines, and also sells aviation equipment, including new engines, engine modules and parts.
The IPO price values GTA at an expected market capitalisation of RM451.97 million upon listing, which is about 11.18 times its earnings for the financial year ended Dec 31, 2025 (FY2025).
For FY2025, GTA's net profit rose 10.5% to RM40.45 million from RM36.61 million a year earlier, while revenue increased 40.2% to RM331.78 million from RM236.65 million.
Hong Leong Investment Bank Bhd is the principal adviser, sponsor, sole underwriter and sole placement agent for the IPO.