ASM Automation Group Berhad (“ASM” or the “Group”), a leading specialist in automation machinery solutions in Malaysia, today officially launched its prospectus as part of its initial public offering (“IPO”) on the ACE Market of Bursa Malaysia Securities Berhad (“Bursa Securities”).
The IPO entails the public issuance of 128.34 million new shares, representing 24.0% of ASM’s enlarged issued share capital of 534.77 million shares, alongside an offer for sale of 53.48 million existing shares, equivalent to 10.0% of the enlarged issued share capital. The IPO shares are priced at RM0.17 each, aiming to raise gross proceeds of RM21.82 million.
The funds raised from the IPO will be allocated as follows:
- RM11.40 million for land acquisition and construction of a new factory to boost production and assembly capacity.
- RM2.30 million for procurement of machines, equipment, and components to support operational growth and demonstration machinery assembly.
- RM2.00 million for Design & Development (D&D) to strengthen research and development efforts.
- RM1.92 million for working capital to support daily operations.
- RM4.20 million for listing expenses.
Mr. Chan Kok Heng, Managing Director of ASM Automation Group Berhad, said, “The launch of our prospectus marks a significant milestone in ASM’s growth journey. From humble beginnings as a local custom automation provider, we have grown into a trusted name in the industry. This IPO will provide the necessary capital to expand our technical capabilities, manufacturing capacity, and market presence. It will also enhance our credibility as a public-listed company, positioning us for sustained growth and greater value creation for our customers.”
Mr. Danny Wong, Deputy Head of Corporate Finance at M & A Securities Sdn Bhd, commented, “We are proud to support ASM on its IPO path. The Group’s consistent growth and ability to serve multinational clients reflect its strong technical expertise and customer-centric approach. ASM’s penetration into international markets further underscores its potential for regional expansion. This IPO will accelerate ASM’s growth, enabling it to undertake larger projects and strengthen its footprint locally and abroad.”
Mr. Kelvin Khoo, Managing Director of Eco Asia Capital Advisory Sdn Bhd, added, “ASM’s operational excellence and adaptability in the dynamic F&B sector highlight its resilience and innovation. The capital raised will empower ASM to ramp up D&D activities, improve efficiency, and execute strategic expansions. We believe this positions ASM as an attractive, scalable investment opportunity.”
M & A Securities Sdn Bhd acts as the Principal Adviser, Sponsor, Underwriter, and Placement Agent for the IPO, while Eco Asia Capital Advisory Sdn Bhd is the Financial Adviser.