Pan Merchant aims to raise RM67.6m from IPO for international expansion
KUALA LUMPUR: Solid-liquid filtration solutions provider Pan Merchant Bhd seeks to raise RM67.6 million from its initial public offering (IPO) for its listing on the ACE Market of Bursa Malaysia for international expansion.
Of the total proceeds, the company will allocate RM62.7 million for capital expansion, of which RM28 million will be used to expand its manufacturing plants, including the acquisition of machinery, equipment and tools, as well as renovations to its manufacturing facilities.
A further RM7 million will be allocated for product development and the remaining RM27.7 million for business expansion, general working capital and defraying listing expenses.
The goal of the IPO is to grow the group's global market share to 2%-3% through further global expansion, particularly in Europe and America.
Managing director Wong Voon Ten said the company aims to stay ahead in the industry by emphasising research and development, sharpening the performance of products, experimenting with new materials and technology, and staying agile in addressing the evolving demands of international clientele.
'In tandem with this, we are ramping up our manufacturing capabilities. From investing in the latest machinery and expanding automation to introducing new production lines, these improvements are designed to boost consistency, precision, and production scalability in line with our global growth ambitions,' he said at the launch of the IPO prospectus today.
Wong said the US and European markets represent high potential opportunities for premium solid-liquid filtration systems. 'We are confident our offerings are well-aligned with the expectations and standards of these discerning markets.'
The IPO involves a total of 250.2 million ordinary shares in Pan Merchant, which includes 232.2 million new shares and 18. million offer-for-sale shares. The total number of shares represents 27.3% of the enlarged share capital.
The group aims to distribute at least 30% of its annual audited net profit after tax to reward its shareholders.
Pan Merchant is scheduled to list on the ACE Market on June 26.
Affin Hwang Investment Bank Bhd is the principal adviser, sponsor, sole placement agent and sole underwriter for the group's IPO.
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Pan Merchant aims to raise RM67.6m from IPO for international expansion
KUALA LUMPUR: Solid-liquid filtration solutions provider Pan Merchant Bhd seeks to raise RM67.6 million from its initial public offering (IPO) for its listing on the ACE Market of Bursa Malaysia for international expansion. Of the total proceeds, the company will allocate RM62.7 million for capital expansion, of which RM28 million will be used to expand its manufacturing plants, including the acquisition of machinery, equipment and tools, as well as renovations to its manufacturing facilities. A further RM7 million will be allocated for product development and the remaining RM27.7 million for business expansion, general working capital and defraying listing expenses. The goal of the IPO is to grow the group's global market share to 2%-3% through further global expansion, particularly in Europe and America. Managing director Wong Voon Ten said the company aims to stay ahead in the industry by emphasising research and development, sharpening the performance of products, experimenting with new materials and technology, and staying agile in addressing the evolving demands of international clientele. 'In tandem with this, we are ramping up our manufacturing capabilities. From investing in the latest machinery and expanding automation to introducing new production lines, these improvements are designed to boost consistency, precision, and production scalability in line with our global growth ambitions,' he said at the launch of the IPO prospectus today. Wong said the US and European markets represent high potential opportunities for premium solid-liquid filtration systems. 'We are confident our offerings are well-aligned with the expectations and standards of these discerning markets.' The IPO involves a total of 250.2 million ordinary shares in Pan Merchant, which includes 232.2 million new shares and 18. million offer-for-sale shares. The total number of shares represents 27.3% of the enlarged share capital. The group aims to distribute at least 30% of its annual audited net profit after tax to reward its shareholders. Pan Merchant is scheduled to list on the ACE Market on June 26. Affin Hwang Investment Bank Bhd is the principal adviser, sponsor, sole placement agent and sole underwriter for the group's IPO.
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Pan Merchant aims to raise RM67.6mil from IPO
KUALA LUMPUR: Solid-liquid filtration solutions provider Pan Merchant Bhd aims to raise RM67.6 million from its initial public offering (IPO) en route to a listing on the ACE Market of Bursa Malaysia. The company, which is scheduled for the listing on June 26, 2025, is making a public issue of 232.2 million new shares, priced at 27 sen apiece. Managing director Wong Voon Ten said that through this IPO, the group aims to stay ahead in the industry, placing strong emphasis on research and development, sharpening products performance and experimenting with new materials and technologies. He said the group is also pushing ahead with its international expansion strategy, with particular focus on the United State (US) and European markets which represent high-potential opportunities for premium solid-liquid filtration systems. "We are committed to expanding our international footprint and sharpening our competitive edge as we work towards growing our global market share to 2.0 per cent - 3.0 per cent in the future from 0.5 per cent,' he said during the launch of Pan Merchant's prospectus here today. Wong said Pan Merchant is ramping up its manufacturing capabilities by investing in the latest machinery and expanding automation. The company has earmarked 40 per cent for its capital expenditure out of the RM67.6 million listing proceeds. "The proceeds are going to be mainly in purchasing of capital and investment into machinery for more automation in our production processes and including bringing higher efficiencies in the production process itself with robotics and automation in Computer Numerical Control (CNC) machining centres and so on," Wong said.. From RM67.6 million IPO proceeds, RM62.7 million will be accrued to Pan Merchant, while the balance of RM4.9 million will be for the offerer. Of the total proceeds of RM62.7 million raised, RM28 million would be allocated to capital expenditure for manufacturing plants, including the acquisition of machinery, equipment and tools, as well as renovations to its manufacturing facilities, the company said. A further RM7 million will be allocated for product development and RM27.7 million for business expansion, general working capital and defraying of listing expenses. Established for 38 years, the company is also expanding its business into water, mineral processing and mining industries and renewable energies from the hydrotreated vegetable oil industry. It also aims to distribute at least 30 per cent of its net profit to reward shareholders. Affin Hwang Investment Bank is the principal adviser, sponsor, sole placement agent and sole underwriter for Pan Merchant's IPO exercise. - Bernama
