99 Holdings Inks Underwriting Agreement For Main Market IPO

KUALA LUMPUR, July 26 (Bernama) -- 99 Speed Mart Retail Holdings Bhd (99 Holdings) has signed a retail underwriting agreement with CIMB Investment Bank Bhd, Affin Hwang Investment Bank Bhd, and RHB Investment Bank Bhd in conjunction with its upcoming initial public offering (IPO).

In a statement today, 99 Holdings said it targets to be listed on the Main Market of Bursa Malaysia in the third quarter of 2024.

It said the IPO of up to 1.43 billion ordinary shares (IPO Shares) will comprise an offer for sale of up to 1.03 billion existing shares (offer shares) and a public issue of 400 million new ordinary shares. 

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“The institutional offering comprises 1.22 billion IPO Shares representing 14.5 per cent of the company’s enlarged issued shares, and a retail offering consisting 210 million shares representing 2.5 per cent of the enlarged issued shares. 

99 Holdings said for the institutional offering of 1.22 billion shares, 1.05 billion will be offered to Bumiputera investors approved by the Ministry of Investment, Trade and Industry of Malaysia, while the other 168 million will be offered to Malaysian Institutional and selected investors.

“Of 210 million shares, 168 million will be reserved for application by the Malaysian public via balloting, of which 84 million will be set aside for application by Bumiputera citizens, companies, co-operatives, societies and institutions, while 42 million shares will be reserved for the directors, employees, and persons who have contributed to the success of 99 Holdings and its subsidiaries,” it said. 

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99 Holdings founder and chief executive officer Lee Thiam Wah said the retail underwriting agreement marks a significant milestone for the company and brings it closer to listing on Bursa Malaysia.

“We are excited to embark on the next phase of our growth journey. By tapping into the capital markets, we can accelerate our expansion plan and continue scaling our store network to expand our footprint in Malaysia.

“This will further solidify our position as the largest mini-market chain retailer in Malaysia, enhancing our brand recognition in the region, driving consumer engagement and enabling the public to participate in the company’s growth,” he said.

CIMB Investment Bank will be the sole managing underwriter and, along with Affin Hwang Investment Bank and RHB Investment Bank, jointly underwrite the entire retail offering of the IPO.

-- BERNAMA