KUALA LUMPUR: Bestari Food Bhd has secured the Securities Commission's approval for its upcoming listing on the Main Market of Bursa Malaysia Securities Bhd.
The company is principally involved in the production of food premixes as well as the supply of food ingredients, food processing and production equipment.
In a statement today, Bestari Food said its initial public offering (IPO) will comprise a public issue of approximately 77.1 million new ordinary shares and an offer for sale of up to approximately 56.3 million existing ordinary shares, representing an aggregate of up to 29.6 per cent of its enlarged 450.0 million issued shares.
"Under the institutional offering, up to 100 million shares have been allocated to institutional and selected investors, including Bumiputera investors approved by the Ministry of Investment, Trade and Industry.
"The retail offering comprises 22.5 million shares which will be made available to the Malaysian public, while approximately 10.8 million shares have been reserved for the eligible directors, employees and persons who have contributed to the success of Bestari Food group," it said.
Managing director Lai Kok Siong said the listing will provide the group with a stronger platform to support its next phase of growth while enhancing its brand visibility and market awareness of its food premix products.
"Proceeds from the public issue will enable us to acquire a parcel of industrial land to set up a new production facility, purchase new machinery and equipment for the expansion of our production capacity, expand our marketing and promotional activities, and to defray listing expenses.
"The new facility will also support our planned expansion into ingredient processing activities and broaden our product range," he added.
Moving forward, Lai said Bestari Food would remain focused on expanding its production capabilities, developing new food premixes and broadening the market reach of the 'Bestari' brand.
"We believe these initiatives will position our group to capture further opportunities within the food premixes industry," he added.
RHB Investment Bank Bhd is the principal adviser, sole underwriter and sole placement agent for this IPO exercise.
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