MYMBN Berhad (“MYMBN”), a company principally involved in the processing and sale of edible bird’s nests (“EBN”), specifically the raw unclean edible bird’s nests (“RUCEBN”) is pleased to announce the launch of its prospectus in conjunction with the listing of the Company on the ACE Market of Bursa Malaysia Securities Berhad.
The Initial Public Offering (“IPO”) involves a public issue of 98 million IPO shares at an issue price of RM0.21 per share, comprising:
1/ 19.30 million shares made available for application by the Malaysian public;
2/ 18.68 million shares made available for application by eligible directors and employees of MYMBN and its subsidiaries (“Group”) as well as persons who have contributed to the success of the Group; and
3/ 60.02 million shares made available by way of private placement to selected investors.
The IPO is expected to raise RM20.58 million in proceeds, of which RM8.05 million will be allocated towards the working capital and related capital expenditure catered for the expansion of its existing headquarters and processing facility.
MYMBN has assigned RM6.60 million to finance the additional purchases of raw bird’s nests for RUCEBN. About RM1.68 million of the proceeds will be allocated for establishing 3 bird’s nest collection centres in East Malaysia, while RM1.25 million will be allocated for the expansion into the processing and sale of the raw clean edible bird’s nest (“RCEBN”) segment, and the remaining RM3.00 million for listing expenses.
The demand for EBN has been increasing over the years in the local and international markets. In particular, there has been a rapid rise in demand for Malaysian EBN in the PRC in recent years due to the growing middle-income class in the PRC which has significantly contributed to the increased affordability of EBN, making it accessible to a larger segment of consumers. In addition to the PRC, Vietnam’s consumer base has also demonstrated a high appreciation for bird’s nests, with demand projected to rise alongside the rapid growth of their middle-income class and increasing disposable income.
“In line with our expansion plans, the expanded processing facility will enable us to increase our RUCEBN processing capacity while at the same time enhancing our processing and operational efficiency, which will greatly cater to our expansion into Vietnam and also house the operations of a new company for the sale of our HALAL ready-to-drink bird’s nest products,” said MYMBN CEO Lavernt Chen Vun Wo.
“In addition, the Company is planning to establish 3 bird’s nest collection centres in Sabah and Sarawak. East Malaysia has more than 450, or over 20% of the swiftlet houses with identification registrations and Malaysian Good Agricultural Practice (“myGAP”) certification from Department of Veterinary Services Malaysia (“DVS”) which represent a substantial source of bird’s nests in Malaysia. These centres will enable our Group to increase our physical presence in East Malaysia, where we would be able to source for additional raw bird’s nests, in light of our expansion plan into the processing and sale of RCEBN,” he added.
The Principal Adviser, Sponsor, Sole Underwriter, and Sole Placement Agent for the IPO is Mercury Securities.
