Berjaya Auto Bhd (BAuto), en route to the Main Board of the local exchange, expects to raise RM57.9 million from its upcoming intial public offer (IPO), according to the company’s prospectus exposure draft posted on the Securities Commission website yesterday.

The IPO involves the issuance of 82.76 million new shares comprising a 10.3% stake in the company. Out of the 82.76 million shares, BAuto will allocate 41.45 million shares to Malaysian institutional and selected investors, 10.16 million shares to Bumiputera investors approved by the Ministry of International Trade and Industry, 19.16 million shares to entitled shareholders of Berjaya Corp Bhd (BCorp) and 12 million through pink form allocations.

“The gross proceeds will be utilised for working capital of our group for 12 months, investment in Mazda Malaysia Sdn Bhd (MMSB), finance capital expenditure within 24 months, repayment of bank borrowings, and the expenses for our IPO,” the company said.

BAuto is the listing vehicle of BerMaz Motor Sdn Bhd, a 75.4%- owned subsidiary of BCorp. BAuto is Mazda vehicles’ distributor, assembler, retailer and after sales services provider. The company is also involved in the domestic distribution of locally assembled Mazda vehicles through Ber-Maz and export of Mazda vehicles assembled in Malaysia.

For its financial year ended April 30, 2012, BAuto’s net profit increased 12.6% to RM40.68 million from the RM36.15 million recorded in the same period in 2011. Its revenue in the same period increased 11.9% to RM663.58 million from the RM592.6 million recorded in the same period a year ago.

The company said it aims to strengthen its position in the automotive segment, increase shareholders’ value as well as increase its market share in the segment that it competes in.

“We intend to achieve our aim through the following strategies – expand our range of complete knockdown vehicles of Mazda and increase utilisation of local contents, expand our distribution network and dealerships and launch the latest models of Mazda vehicles in the Malaysian and Philippine markets,” it said.

As an integral part of the proposed listing, BAuto proposed on Feb 26 to acquire the whole equity interest in Bermaz from six entities, comprising 80 million shares of RM1 for a total purchase consideration of RM503.99 million.

The six entities are BCorp, Podium Success Sdn Bhd, Tunku Aminah Tunku Ibrahim Ismail, BHJ Marketing Sdn Bhd, Konsep Aktif Sdn Bhd and Terrific Dynamics Sdn Bhd.

The payment for the acquisition will be satisfied via the issuance of 719.99 million new shares of 50 sen each in BAuto at an issue price of 70 sen per BAuto share.

“The proposals are expected to unlock shareholders’ value in BAuto. It will also provide a transparent valuation benchmark for the Mazda automotive business of BCorp.

“With the listing, BAuto will have direct access to the equity capital market which will enable it to have greater capital management flexibility. It will also enhance the BAuto group’s corporate stature,” it said in the earlier filing to Bursa Malaysia.

Opening of application 18/10/2013
Closing of application 01/11/2013
Balloting of applications 08/11/2013
Allotment of IPO shares to successful applicants 14/11/2013
Tentative listing date 18/11/2013


This post has been edited by davinz18: Oct 18 2013, 04:04 PM

looks like lots of people are not a fan of VT

so this would be under-subscribe IPO

Maybank Investment Bank Berhad (“Maybank IB”) is pleased to announce that the Securities Commission (“SC”) had, vide its letter dated 20 August 2013 approved the Proposed Listing pursuant to Subsection 214(1) of the Capital Markets and Services Act, 2007 and the equity requirement for public companies, subject to the following conditions:

(i) BAuto to allocate at least 12.5% of its enlarged issued and paid-up share capital to Bumiputera investors at the point of listing; and

(ii) Maybank IB/BAuto to fully comply with the requirements of the SC’s Equity Guidelines and Prospectus Guidelines - Equity pertaining to the implementation of the Proposed Listing.

The SC had also vide the abovementioned letter, granted its approval-in-principle for the registration of BAuto’s prospectus.

still got time to think over

Even got offer, it only for BJ Corp shareholders only

So I'm correct, only BJ Corp shareholders are entitle for "special" allocation

Really?

IPO without direct public retail application

I know, just telling only. Some more they advertise in newspaper

NST

Caring IPO don't have in NST

Not bad, got some upside compare with IPO price

Too bad cannot apply "directly"

if you really want it, can buy open market

maybe true, but we don't know how this IPO would perform. Most ppl telling mazda cars are getting popular among Malaysian

Berjaya Auto’s restricted offer oversubscribed 4.19 times

Berjaya Auto Bhd is offering 82.76 million new shares under its initial public offer (IPO) at an offer price of 70 sen each to raise RM57.90mil as it seeks a listing on the Main Market of Bursa Malaysia.

In its prospectus released on Friday, it said of the 82.76 million new shares, 41.449 million units were would be placed out to Malaysian institutional and selected investors.

It added another 10.157 million shares would be allocated to approved Bumiputera investors while 19.157 million units would be reserved for entitled shareholders of Berjaya Corporation and the remaining 12 million shares for eligible directors and employees.

Berjaya Auto said of the RM57.90mil in proceeds, 72% of the proceeds or RM41.70mil would be used for working capital.

It said the issue price was based on the price-to-earnings multiple (PER) of about 11.1 times based on the earnings per share of 6.3 sen.
“Based on the issue price of 70 sen per issue share and the issued and paid-up share capital of 802,76 million shares upon listing, the total market capitalisation of our company upon listing is approximately RM561.9mil,” it said.

BERJAYA AUTO BERHAD

Date of listing 18/11/2013

Enlarged issued and paid up share capital in the following:

Units 802,763,000

Currency MYR 401,381,500.000

Par Value ($$) MYR 0.500

Stock code 5248

Stock name BJAUTO

ISIN code MYL5248OO009

Board Main Market

Sector TRADING/SERVICES

Do you wish to list any child stock / new type of securities in conjunction with the IPO? No

can they achieve it? only time would tell

restricted offer only, that's why all silence

what price you're targeting?

ppl sure "goreng" tis counter