KUALA LUMPUR: Securemetric Bhd is offering 17 million shares for the public under its listing plan on Bursa Malaysia.
The company has moved one step closer to the listing with the launch of its prospectus today.
Its shares will be floated on Bursa’s Ace Market on November 13.
The initial public offering (IPO) will raise RM17 million proceed.
“Of the total proceeds, RM5.7 million will be utilised for development of new digital security solutions, RM5.16 million for working capital purposes and RM1.7 million for business expansion.
“The remaining proceeds of RM4.44 million will be used for repayment of borrowings and defrayment of IPO expenses,” Securemetric said in a statement today.
Retail offering of the 17 million shares will close on October 30.
Securemetric and its subsidiaries offer digital security products and solutions mainly across Southeast Asia namely Malaysia, Vietnam, the Philippines, Indonesia and Singapore.
Its expertise lies in software licensing protection, two-factor authentication (2FA), Public Key Infrastructure (PKI) and centralised authentication management system.
The group’s expertise and track record is backed by its local and foreign client base from diverse industries such as government organisations, financial institutions, public certification authorities, software development companies and IT service providers.
For the year ended December 31, 2017, more than 85 per cent of the group’s revenue was derived overseas.
Securemetric chief executive officer Edward Law is confident of the growth potential of digital security solutions in Southeast Asia, with a potential market size of RM8 billion by 2020, especially within the financial and government sectors.
“With increasing adoption of technology by businesses and governments, enhanced digital security solutions are of utmost importance to avoid data leakages and economic losses arising from cyberattacks.
“We are well positioned to benefit from growing emphasis by corporates and governments on having robust digital security solutions to safeguard data, information, and assets,” he said.
TA Securities Holdings Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.