KUALA LUMPUR (Oct 29): Property developer Parkland Bhd has secured approval from the Securities Commission Malaysia for its proposed listing on the Main Market.
The approval marks another step towards Bursa Malaysia for the Melaka-based company. No timeline was disclosed, though a company will have to complete its initial public offering (IPO) within six months of approval from the securities regulator.
“The proposed IPO will provide us with a stronger platform to accelerate our development plans, expand our land bank and further strengthen our position in the property development industry,” managing director Datuk Tan See Sen said in a statement.
Parkland, which develops townships and property in Johor, Melaka and Selangor, has its own construction arm. The company currently has nine ongoing projects, including six townships and three other residences.
Combined, the developments on 779 acres of land have a gross development value of RM5.9 billion, according to its draft prospectus filed in July. Ongoing projects include Bandar Layangkasa in Johor and Bandar Botani Parkland in Melaka.
Parkland has also ventured into renewable energy through a joint venture with a Hong Kong-listed Xinyi Energy Holdings Ltd to develop a 99.99-megawatt solar plant in Tangkak, Johor. The plant is expected to begin commercial operations in the first quarter of 2027.
Proceeds from the public issue will be used mainly to acquire land bank and finance working capital requirements for ongoing and planned development, which will collectively cost close to RM1.2 billion.
Meanwhile, funds raised from an accompanying offer for sale under the IPO will accrue entirely to Excel Venture Capital Sdn Bhd, a private vehicle of nearly two dozen shareholders including Tan, the managing director of Parkland.
Hong Leong Investment Bank Bhd is the principal adviser, while it and AmInvestment Bank Bhd are the joint placement agents and joint underwriters for the IPO.