Cloudpoint Technology Berhad is seeking to raise RM40 million as the information technology solutions provider aims to be listed in the ACE Market of Bursa Malaysia Securities Berhad.
The company which launched its prospectus recently, offers a wide range of solutions from design, procurement, implementation, and support to after-sales maintenance, providing compelling value propositions for its current and prospective clients. Its clients are mostly large enterprises, comprising primarily financial institutions, technology service providers and telecommunication companies in Malaysia. For the financial year ended 31 December 2022 the group achieved revenue of RM90.60 million and profit after tax of RM13.15 million. Approximately 89% of its revenue was derived from customers in the financial services sector, primarily major banks in Malaysia.
With this upcoming IPO exercise, Cloudpoint will raise proceeds of approximately RM40.4 million to scale and accelerate its business in the high-growth areas of cloud and cybersecurity. RM13.3 million from the proceeds raised will be used towards business expansion, including building a new Security Operations Centre, enhancing the existing Network Operations Centre and establishing a new public cloud infrastructure. RM15.8 million will be used towards working capital, RM7.8 million for office relocation and the remaining RM3.5 million for the listing expenses.
Executive Director / Chief Executive Officer of Cloudpoint, Mr. Choong Wai Hoong said “The IPO is a crucial milestone that will propel Cloudpoint forward, to scale up and accelerate our business growth. We will continue to deliver innovations and ensure sustainable profitability for our company, and more importantly, we are committed to delivering long-term value and exceptional returns to our shareholders.”
Today marks the opening of the IPO comprising the total offering size of 159.48 million shares at the IPO price of RM0.38 per share, where 53.16 million shares will be offered to institutional and selected investors, 26.58 million shares will be made available to the Malaysian public via balloting, 13.29 million shares will be set aside for eligible directors / employees and 66.45 million shares for investors approved by the Ministry of Investment, Trade and Industry. M&A Securities Sdn Bhd is the Adviser, Sponsor, Underwriter and Placement Agent for Cloudpoint’s IPO.
