Malaysia's largest mini-market chain retailer 99 Speed Mart Retail Holdings filed a draft prospectus on Monday for a domestic initial public offering (IPO), according to Securities Commission Malaysia's website.
The company, founded and which first started out as a traditional sundry shop by entreprenuer Lee Thiam Wah in 1987, plans to offer up to a 17% stake, or as much as 1.43 billion shares, the draft prospectus showed.
About 85.3% of that will be sold to institutional and selected investors and the balance to retail investors, according to the preliminary prospectus.

The draft prospectus did not provide the IPO price, its size or timeline.
The company said proceeds will be used for expansion of new outlets in Malaysia, establishment of new distribution centres and the purchase of delivery trucks, among other things.
It will also use the proceeds for repayment of existing bank borrowings.

99 Speed Mart targets to open on average 250 new outlets annually with an immediate target for around 3,000 outlets operating nationwide by end of 2025.
It currently operates 2,542 outlets across Malaysia and 19 distribution centres.

CIMB Investment Bank is the principal adviser, sole bookrunner, sole managing underwriter and underwriter for the IPO


Principal Activity:
99 Holdings is principally involved in investment holding and provision of management services. Through its subsidiaries, the group is involved in the retailing of daily necessities, mainly comprising fast-moving consumer goods via its network of mini-market outlets in Malaysia, as well as engages in exporting consumable merchandise and household products.

Shares to be issued/offered :
IPO of up to 1,428,000,000 ordinary shares in 99 Holdings ("IPO Shares'') in conjunction with the listing of and quotation for the entire enlarged issued ordinary shares in 99 Holdings ("Shares'') on the Main Market comprising an offer for sale of up to 1,028,000,000 existing shares ("Offer Shares'') and a public issue of 400,000,000 new shares ("Issue Shares'') involving:

Institutional offering of up to 1,218,000,000 IPO Shares to Malaysian institutional and selected investors, including Bumiputera investors approved by the Ministry of Investment, Trade and Industry of Malaysia at the institutional price to be determined by way of bookbuilding ("Institutional Price''); and

Retail offering of 210,000,000 Issue Shares to the directors and eligible employees of 99 Holdings and its subsidiaries ("99 Holdings Group" or "Group''), persons who have contributed to the success of the group and the Malaysian public at the retail price ("Retail Price''), payable in full upon application and subject to refund of the difference between the Retail Price and the Final Retail Price in the event that the Final Retail Price is less than the Retail Price;
Subject to the clawback and reallocation provisions and the over-allotment option.

The Final Retail Price will be equal to lower of:
(A) The Retail Price; or
(B) The Institutional Price.

Prospectus Exposure: https://www.sc.com.my/resources/prospectus-...ings-or-company

This post has been edited by ronnie: Mar 12 2024, 10:18 AM

Was waiting for this IPO but it seems too overpriced, overweight.

To raise RM1.5b for 1.428b shares = 15% of total shares

Total shares 8.4b

Price should be about/above RM1

only offer 15% instead of minimum 25% public ownership.

#tayor

seems like got potential this IPO. something like mr diy those days.

I did my calculation the company shud be valued anywhere between 10b-12b.
11b x17% around 1.9b put on ipo equivalent to RM1.26/unit. The attractiveness of this stock should be based on its capability to expand out of malaysia. if only malaysia not interesting

This post has been edited by jyll92: Mar 15 2024, 09:40 AM

Seems like nobody is interested at this IPO.

They stupid.

not that appetising eh?

Any update? One of very few companies I'd even think of subscribing to the IPO.

Won’t touch any domestic consumption reliant counter due to this latest boycott trend.

Cannot predict what could be a hidden timebomb that could ruin its business.

Focus on exports counter better

good deal?

Many good businesses in Malaysia only uses IPO to borrow money cheaply from shareholders instead of actually providing good values to shareholders.

When their interest obligation is too high to bear liao, then they will IPO a small portion of their shareholdings to reduce their risks level.

mrdiy 1.78

this rm1.00 ok la i apply.

Hope did not happened like kk mart

but i dont see it in Maybank. when open for ipo?

For now open for miti only. Not yet for public.

ah ok. Thanks for the info.. prepare bullet first

No price given right?? for MITI

hopefully not very high PE

This post has been edited by theevilman1909: May 9 2024, 06:35 PM

https://www.sc.com.my/resources/prospectus-...cPuxCovvVYhMS8Z

mrdiy got creador.. . does 99 have creador ?