KUALA LUMPUR: Johor Plantations Group Bhd (JPG) has entered into underwriting agreements with four banks for the entire 77.5 million retail offering of its initial public offering (IPO) on the Main Market of Bursa Malaysia Securities Bhd, targeted for the third quarter of 2024.
RHB Investment Bank Bhd will act as the managing underwriter and joint underwriter along with AmInvestment Bank Bhd, CIMB Investment Bank Bhd and Affin Hwang Investment Bank Bhd for the retail offering.
JPG's IPO entails a public issue of 464.0 million new shares and an offer for sale of up to 411.0 million existing shares in JPG. Some 50 million shares will be made available for the public.
"Our operational efficiency, reflected in our yields, has played a pivotal role in our success. With our listing on the horizon, JPG is set to become an integrated player in the downstream segment, optimising our position within the industry. We believe these plans will enhance the marketability of our products, enabling us to meet the growing industrial demand for palm oil and expand into new business segments through strategic growth," JPG's managing director Mohd Faris Adli Shukery said in a statement.
He added that the company's goal is to produce speciality oils and fats, along with other high-value downstream palm oil products, tailored for the food industry.
This strategy aims to strengthen its position as a fully integrated oil palm producer and allow us to capture better margins across the value chain.