Main Market-Bound Reach Ten's IPO Oversubscribed By 1.85 Times
KUALA LUMPUR, April 22 (Bernama) -- The public portion of Sarawak-based telecommunications company Reach Ten Holdings Bhd's initial public offering (IPO) has been oversubscribed by 1.85 times, ahead of its scheduled listing on the Main Market of Bursa Malaysia on May 2, 2025.
The company said in a statement today that it received a total of 2,706 applications for 142.65 million new shares, exceeding the 50 million shares allocated for public subscription.
“The bumiputera portion of the shares was oversubscribed by 1.11 times, with 945 applications for 52.79 million shares.
“Meanwhile, the non-bumiputera portion saw 1,761 applications for 89.86 million shares, representing an oversubscription rate of 2.59 times,” Reach Ten said.
The company also stated that the 25 million new shares allocated for its eligible directors, employees, and individuals who have contributed to its success under the pink form allocations have been fully subscribed.
“In addition, its placement agent has confirmed that 225 million shares made available for application by way of private placement to bumiputera investors approved by the Ministry of Investment Trade and Industry (MITI) and selected investors have been fully placed out,” it said.
Managing director Leo Chin said that with the IPO funds in place, the company is on track to expand its telecommunications infrastructure in Sarawak and further grow its business.
“The proceeds will enable us to accelerate our expansion plans to establish and expand our fibre optic network infrastructure as well as to construct an additional 100 4G and/or 5G telecommunication towers in Sarawak, supporting the state government's efforts to improve internet coverage and connectivity in rural areas,” he said.
Under the listing exercise, Reach Ten aims to raise RM104 million from the public issue of 200 million new shares at an issue price of RM0.52 per share.
M&A Securities Sdn Bhd is the principal adviser, underwriter and placement agent for the IPO exercise.
-- BERNAMA