MR DIY IPO oversubscribed by 3.9 times

KUALA LUMPUR, Oct 16 -- MR DIY Group (M) Bhd’s initial public offering (IPO) of 941.49 million shares has been oversubscribed by 3.9 times, the home improvement retailer revealed today.

In a statement, MDGM said significant interest from Malaysian, foreign and selected investors saw its institutional offering oversubscribed by 4.71 times.

“For the retail offering, applications for a total 169.94 million issue shares with a value of RM271.90 million were received from Malaysian public and eligible persons.

“For the balloting in respect of the applications received from the Malaysian public, a total of 9,244 applications for 133.94 million issue shares with a value of RM214.30 million were received, representing an oversubscription of 0.07 times,” it said.

The group said the 36 million issue shares available for application by the eligible persons were fully subscribed.

“The institutional price has been fixed at RM1.60 per IPO share. Accordingly, the final retail price for the issue share under the retail offering has been fixed at RM1.60 per issue share,” it said.

As the final retail price had equalled the retail price of RM1.60 per issue share, no refund will be made to the successful applicants, the group said.

It said notices of allotment would be dispatched to all successful applicants on or before October 26.

MDGM’s IPO involved the offering of up to 941.49 million shares, with an institutional offering of 779.96 million shares for Malaysian, foreign institutional and selected investors including Bumiputera investors approved by the International Trade and Industry Ministry.

It also involved retail offering of 161.53 million issue shares for MDGM directors, eligible employees and subsidiaries and persons who had contributed (collectively) to the success of the company, and the Malaysian public.

The company aims to raise RM1.5 billion from the exercise and is set to make its debut on Bursa Malaysia's Main Market on October 26.

-- BERNAMA