MSM Malaysia Holdings Berhad Initial Public Offerings Set at RM3.50 per Share for Institutional Investors
MSM Malaysia Holdings Berhad Initial Public Offerings(IPO) is set at RM3.50 per share for institutional investors
I would say this IPO was oversubscribed and most public investors and institutional investors may not even get it due to overwhelming demand.
The final price of RM3.50 is the top end of the RM3.30- RM3.50 range set earlier. MSM Malaysia Holdings Berhad is the federal land authority’s sugar refining arm and owner of the country’s biggest sugar refiner in Malaysia.
This IPO listing is value at RM817 Million and will be enroute for listing on the Main Market of Bursa Malaysia on 28th June 2011.
After the debut, the Funds raised will be used for capital expenditure and working capital requirements.
MSM Malaysia Holdings Berhad aimed to leverage and coordinating the purchase or raw sugar for Malayan Sugar Manufacturing Company Bhd and Kilang Gula Felda Perlis Sdn Bhd, in a matured, stable and controlled domestic sugar industry. Malaysia imported 1.70 billion tonnes of raw sugar last year and 99 per cent of total raw sugar input used in refineries.
It’s said MSM Malaysia Holdings Berhad is looking to increase export sales and eyeing for strategic acquisitions or investments in the South East Asia region.
The joint bookrunners for this IPO are CIMB and Maybank.
MSM Malaysia Holdings Berhad is the subsidiary of Felda Global Group, the commercial arm of Malaysia’s Federal Land Development Authority (FELDA). FELDA is the world’s largest estate owner which helps rural settlers to develop plantations of agricultural commodities such as rubber and palm oil.