KUALA LUMPUR (Oct 20): Electrical engineering firm SKA Capital Bhd has priced its shares at 43 sen per share for its ACE Market listing.
The initial public offering (IPO) will raise RM103.4 million, of which RM72.3 million will go to the company, according to its prospectus unveiled on Tuesday. Managing director Datuk Subas Kumar Ambairam will pocket RM31.13 million from an offer for sale of his existing stake under the IPO.
Applications for the IPO will close at 5pm on Oct 27 and listing is scheduled for Nov 11.
SKA Capital mainly provides substation engineering services, underground utilities engineering services and trading of electrical devices, electrical equipment and construction materials for power infrastructure engineering.
Jobs on hand totalled about RM313 million.
The IPO would allow SKA Capital to capitalise on growing investments in Malaysia's electricity infrastructure, said Subas.
"We believe the IPO will serve as a springboard for the group to capture these opportunities by strengthening our financial position and execution capacity, enabling us to pursue larger and more complex projects and undertake multiple projects concurrently," he said.
The company is allocating RM32.72 million from the IPO proceeds for working capital, RM21 million for performance bonds to secure future projects and RM12.05 million for machinery and equipment purchases. The remaining RM6.5 million will cover listing expenses.
Upon listing, SKA Capital will have a market capitalisation of RM385 million, which values the company at 13 times its trailing earnings.
In 2025, SKA Capital made a net profit of RM30.8 million on revenue of RM241.36.
TA Securities Holdings Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.