MAIN MARKET DEBUT: Port operator will be first Malaysian-listed firm to have Asia’s richest man Li Ka-shing as key stakeholder
Even before the opening bell to signal the start of its maiden trading on Bursa Malaysia’s Main Market today, Westports Holdings Bhd is already a trend-setter and winner poised to
Port Klang-based Westports, Southeast Asia’s second busiest port, will be the first Malaysianlisted company that counts Asia’s richest man Li Ka-shing as a substantial shareholder.
Li, a top market player, will own about 24 per cent of Westports post-listing via Hutchison Whampoa, the world’s second largest container port operator.
Meanwhile, Tan Sri G. Gnanalingam, who helped build Westports from nothing 20 years ago, plans to overtake Northport Corporation Bhd as Port Klang’s main port.
Against this backdrop, and the small number of shares in the open market, dealers are anticipating Westports to start
Officially, some 102 million shares have been allocated to the public, which includes directors, staff and those doing business
Dealers estimate that the local investing public with no links with Westports may only own about 80 million shares.
Some 710.89 million shares were offered to local and foreign institutional and selected investors.
From this portion, cornerstone investors snapped up 340 million shares, or 41.81 per cent, of the total number of shares offered in the initial public offering (IPO).
They include the Employees Provident Fund, Utilico Emerging Markets Ltd and Permodalan Nasional Bhd.
The RM2.03 billion Westports raised for the IPO is a record for
Bursa this year, and the bet is it will start delivering soon.
JF Apex Securities has set a RM2.97 target, while Alliance
Research estimates the fair value to be in the RM2.84 range, versus the RM2.50 IPO price.
Kenanga expects the stock to trade in the RM2.80 range, based on fair value and the company’s policy of handing out 75 per cent of net profit as dividends to shareholders.