KUALA LUMPUR: KHPT Holdings Bhd has received approval from Bursa Malaysia to list on the ACE Market.
The company will undertake an initial public offering (IPO) entailing a public issue of 108.64 million new shares and an offer for sale of 32.23 million existing shares.
Of the total, 78.47 million shares will be made available to selected investors via private placement, 20.12 million shares will be made available to the public via balloting, and 10.06 million shares will be for the directors and employees of KHPT and its subsidiary.
The 38.23 million shares under the offer sale will be made available to selected investors.
"This marks a very significant milestone in our corporate journey as we look to further strengthen our position as a recognised car parts manufacturer and solution provider within the affordable automotive market.
"The proceeds from the IPO will facilitate our business expansion by financing our capital expenditures and working capital requirements. Among others, the purchase of new press machines and automation equipment will enable us to increase our manufacturing capacity and efficiency. Furthermore, the addition of a new manufacturing line arising therefrom will also provide further flexibility in our manufacturing of different automotive parts that we provide to our customers," said group managing director Datin Eloise See.
KHPT is principally involved in the manufacturing and sale of automotive parts to local automotive manufacturers and mainly to their respective Tier-1 suppliers and manufacturers.
Its expertise in die solutions and process engineering, coupled with metal stamping and sub-assembly services, has enabled the company to build its track record within the industry for over 25 years.
Automotive parts supplied by the company range from body parts to seat structure and other parts.
KAF Investment Bank Bhd is the principal adviser, sponsor, sole underwriter, and sole placement agent for the IPO.