SSF Home Group Berhad aims to raise RM50 million from its IPO exercise and listing on the ACE Market of Bursa Malaysia Securities Berhad, which announced this during its proceptus event.
The Group also said the bulk of this would go towards the opening of 18 new retail outlets over the next 3 years. Since the Group’s venture into the retail segment in 1990, SSF Home has established an extensive industry presence for over 30 years. The Group manages and operates a network of 41 retail outlets with a total retail space of more than 1 million square feet throughout Peninsular Malaysia, Sabah and Sarawak.
From the total IPO proceeds of RM50.0 million, RM14.2 million (28.5%) will be used as capital expenditure and RM21.0 million (41.9%) as start-up costs for the set-up of new retail outlets. The balance RM14.8 million (29.6%) will be allocated towards repayment of bank borrowings, marketing activities, general working capital, and to defray listing expenses.
Moving forward, industry prospects remain favourable underpinned by the growing affluence of Malaysians, the rising population coupled with urbanisation.
SSF Home’s IPO exercise comprises a public issue of 200.0 million new ordinary shares in SSF Home, or 25.0% of its enlarged share capital, and an offer for sale of 24.0 million existing shares, or 3.0% of the enlarged shares by way of private placement to selected investors.
Based on the IPO price of RM0.25 per share and its enlarged issued shares of 800.0 million shares, SSF Home’s market capitalisation upon listing is approximately RM200.0 million.
M & A Securities Sdn Bhd is the Adviser, Sponsor, Underwriter, and Placement Agent for SSF Home Group Berhad’s IPO exercise
