PAN Merchant Bhd has entered into an underwriting agreement with Affin Hwang Investment Bank Bhd, which will act as the sole underwriter for the group’s upcoming initial public offering (IPO) ahead of its planned ACE Market listing in the second quarter of 2025.
The IPO will involve the issuance of 250.2 million ordinary shares, consisting of 232.2 million new shares and 18 million offer-for-sale shares, representing 27.3% of the enlarged share capital.
Of the new shares, 114.5 million will be allocated to Bumiputera investors, while 57.3 million will be set aside for selected investors through private placement.
Additionally, 45.8 million new shares will be offered to the Malaysian public via balloting, with 14.6 million shares available for application by eligible directors, employees, and contributors to the group.
“We are pleased to have Affin Hwang on board, supporting us with their experience and market insights in our IPO journey,” said its MD Wong Voon Ten.
“As we embark on this IPO, we are eager to tap into the opportunities the capital market offers to drive our next phase of growth with our listing status.”
Pan Merchant provides filtration solutions across various industries, including edible oil refining, sustainable fuel production, food processing, and water treatment, with operations in Malaysia, Singapore, the Netherlands, and the United States.
The group operates three manufacturing facilities in Ipoh, Perak, spanning 4.05 hectares.
Proceeds from the IPO will primarily fund capital expenditures, including the acquisition of machinery and renovations to enhance operational capacity, along with product development, business expansion, working capital, and listing expenses.
Affin Hwang Investment Bank is the principal adviser, sponsor, sole placement agent, and sole underwriter for the IPO. — TMR
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