PETALING JAYA: Bestari Food Bhd has secured approval from the Securities Commission Malaysia (SC) for its upcoming listing on the Main Market of Bursa Malaysia.
Bestari Food’s initial public offering (IPO) will comprise a public issue of about 77.1 million new ordinary shares and an offer for sale of up to approximately 56.3 million existing ordinary shares, representing up to 29.6% of its enlarged 450 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.
In addition, the retail offering comprises 22.5 million shares, which will be made available to the Malaysian public, while about 10.8 million shares have been reserved for eligible directors, employees, and persons who have contributed to the success of Bestari Food Group.
Bestari Food managing director Lai Kok Siong said the approval from the SC marks an important milestone in the group’s journey towards becoming a public listed company.
“The listing will provide us with a stronger platform to support our next phase of growth while enhancing our brand visibility and market awareness of our food premix products.”
Bestari Food has been classified as syariah-compliant by the Shariah Advisory Council of the SC. The company principally involved in producing food premixes and supplying food ingredients and food processing and production equipment.
The production of food premixes includes seasoned flour premixes, seasoning premixes and other food base premixes, which are mainly marketed and sold under the Bestari brand.
The products are available in various packaging formats, including small retail packs distributed through retail outlets and large commercial packs mainly for food manufacturers, hotels, restaurants and cafes or catering food service operators.
Lai said proceeds from the public issue will enable the group to acquire a parcel of industrial land to set up a new production facility, purchase new machinery and equipment to expand production capacity, expand marketing and promotional activities, and defray listing expenses.
“The new facility will also support our planned expansion into ingredient processing activities and broaden our product range.
“Moving forward, we will remain focused on expanding our production capabilities, developing new food premixes and broadening the market reach of our 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 the IPO.