Public Investment Bank to manage 6 IPOs

 

PUBLIC Investment Bank aims to manage six initial public offerings (IPOs) this year, of which three are companies from China, says its Head of Corporate Finance and Advisory, Phang Siew Loong.

"We have already received approval from the Securities Commission for two of the Chinese companies, for whom listings, are expected by the second quarter of this year," he said.

The companies are engaged in the sportswear and seafood processing industries respectively.

"We hope to confirm the listing of the other Chinese company in the third quarter of this year," Phang told reporters at the signing of an underwriting agreement between Hock Heng Stone Industries Bhd and Public Investment Bank.

He also disclosed that the Chinese companies are seeking listing in Malaysia to raise funds.

"The companies make between RM50 million to RM100 million in profits annually. This is considered very small in China.

"Due to their size, it is also difficult for them to be listed in China, needing to wait at least three to four years. That's why they chose to be listed in Malaysia," he explained.

Meanwhile, Hock Heng Stone's IPO's will be the first managed by Public Investment this year and the company is expected to be listed on the Main Market of Bursa Malaysia by the end of March.

Public Investment last year handled only one IPO, that of Yoong Onn Corporation Bhd. - BERNAMA