Advance Technologies signs underwriting deal for planned ACE Market IPO
The offering includes 103.6 million new shares and 17.4 million existing shares, with allocations for the Malaysian public, eligible persons and selected investors.
Advance Technologies Asia Bhd (ATA) has appointed Malacca Securities Sdn Bhd as underwriter through an agreement signed before its proposed flotation on Bursa Malaysia Securities Bhd's ACE Market. ATA provides mechanical and electrical (M&E) engineering solutions.
The IPO will involve issuing 103.6 million new shares, or approximately 22.82 per cent of ATA's enlarged issued share capital. A further 17.4 million existing shares, equivalent to 3.83 per cent, will be offered for sale.
The Malaysian public will be able to apply for 22.7 million new shares, with another 4.54 million reserved for eligible persons. Selected investors will receive placements comprising the other 76.36 million new shares and the full offer for sale.
Managing director Ong Keng Yong said the listing would support growth by allowing ATA to enlarge its project teams, add equipment and handle more projects at the same time. The company also plans a customised enterprise resource planning system to automate and streamline operational workflows.
Ong said ATA was positioning its operations and maintenance services to capture growing long-term maintenance demand as completed data centres begin operating. He said this offered an opportunity to develop recurring revenue alongside its M&E project work.
Besides underwriting the IPO, Malacca Securities will serve as principal adviser, sponsor and placement agent.
