Advanced solutions provider CEKD Bhd has set a target to raise RM24.28 million from its initial public offering (IPO) on the ACE market of Bursa Malaysia in the future.
The IPO will involve a public issue of 50.59 million new shares at an issue price of 48 sen per share.
The listing of CEKD will be scheduled for September 29, 2021 with the expectation of increasing the company's market capitalization to RM93.4 million.
Managing Director Yap Kai Ning said the listing would strengthen the company's position and profile as well as expand its plans more widely.
The IPO will also help the company to leverage on its integrated business model with Sharp Die Cutting Mold Sdn Bhd, Hotstar (M) Sdn Bhd and Focuswin Diecutting Mold Sdn Bhd.
As a result of the IPO, it will be allocated to various aspects as well as the purchase of laser cutting machines and automated steel order processors to support business expansion.
Through the distribution of the new 50.59 million shares, 9.73 million shares will be allocated to locals and 6.81 million shares through private placements to selected investors.
In addition 9.73 million shares to deserving directors, employees and individuals who have contributed significantly in achieving the group’s success.
While the remaining 24.32 million shares to Bumiputera investors approved by the Ministry of International Trade and Industry.
