ACE Market-bound Enproserve inks underwriting deal with KAF Investment Bank
From left: Mohd Nizam Yaakub, CEO, Enproserve Group; Azman Yusof, group managing director; Datuk Hashim Majid, independent non-executive chairman; Rohaizad Ismail, CEO, KAF Investment Bank; and Azmi Hariss Ibrahim, corporate finance director
KUALA LUMPUR: Enproserve Group Bhd has signed an underwriting agreement with KAF Investment Bank Bhd for its proposed listing on the ACE Market of Bursa Malaysia.
Under the terms of the agreement, KAF Investment Bank will underwrite a total of 70.82 million public issue shares, wich will be made available to the Malaysian public via balloting and to eligible directors, employees, and persons who have contributed to the success of the group.
Enproserve, which is targeting a listing in the third quarter of 2025, is a mechanical and civil engineering service provider for the oil and gas (O&G) and petrochemical industries.
It specialises in plant maintenance and turnaround (PMT) and engineering, procurement, construction, and commissioning (EPCC) services and rental of heavy lifting equipment and vehicles mainly for the downstream O&G and petrochemical industries in Malaysia, with involvement also in the upstream and midstream sectors.
According to group managing director Azman Yusof, the company's business model provides fundamental resilience and is insulated from crude oil price volatility and the direct impact of US tariffs.
"The funds raised will be mostly used for procuring new machinery, equipment, and vehicles, which will fortify our capabilities to take on larger jobs amid increasing market demand,' he added in a statement.
The company's IPO entails a public issue of 210 million new shares and an offer for sale of 105 million existing shares.
Of the 210 million public issue shares, 139.18 million will be allocated to selected investors via private placement.
Another 52.5 million public issue shares will be made available via application by the Malaysian public by way of balloting, while 18.32 million public issue shares will be reserved for application by the eligible directors, employees and persons who have contributed to the success of Enproserve.
KAF Investment Bank is the principal adviser, sponsor, underwriter and placement agent for the Group's flotation exercise.
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