MSB Global Group Berhad (“MSB Global” or the “Group“), a leading player in Malaysia’s aftermarket automotive parts and component industry, is pleased to announce that the public portion of its Initial Public Offering (“IPO”) has been oversubscribed by 6.46 times, reflecting a robust demand from Malaysian investors in Malaysia’s aftermarket automotive industry.
To recap, MSB Global’s IPO involves the issuance of 133.00 million new ordinary shares (“Issue Shares”) and an offer for sale of 74.00 million existing shares (“Offer Shares”), comprising a total offering of 207.00 million shares in conjunction with the Group’s listing on the ACE Market of Bursa Malaysia Securities Berhad. The IPO shares were made available for application as follows:
Public Issue
1. Malaysian public
· 30.50 million shares or 5.00% of the Group’s enlarged issued share capital, with 2.50% made available to public investors and the remaining 2.50% are made available to Bumiputera public investors.
2. Eligible persons
· 6.10 million shares or 1.00% of the enlarged issued share capital will be allocated to eligible directors, key senior management and employees through Pink Form Allocations.
3. Private placement to Bumiputera investors approved by MITI
· 76.25 million shares or 12.50% of the enlarged issued share capital are reserved for private placement to Bumiputera investors approved by the Ministry of Investment, Trade and Industry, Malaysia (“MITI“).
4. Private placement to selected investors
· 20.15 million shares or 3.30% of the enlarged issued share capital are reserved for private placement to selected investors.
Offer for Sale
· Offer for sale of 74.00 million shares or 12.13% of the enlarged issued share capital by way of private placement to selected investors.
MSB Global received a total of 4,849 applications for 227,411,500 Issue Shares, with a total value of RM45.48 million, representing an overall oversubscription rate of 6.46 times for the Malaysian public portion. Within this, the Bumiputera portion received 2,129 applications for 60,742,800 Issue Shares, representing an oversubscription rate of 2.98 times, while the non-Bumiputera portion received 2,720 applications for 166,668,700 Issue Shares, reflecting an oversubscription rate of 9.93 times.
Datuk Ow Kee Foo, Managing Director of MSB Global, commented, “We are truly grateful for the positive response from Malaysian investors. The interest shown signals the market’s confidence in our business model, industry positioning, and long-term growth plans. The IPO proceeds will allow us to accelerate our expansion, particularly in enhancing our manufacturing capabilities and introducing new solutions such as our in-house EV charger, to better serve the evolving needs of the aftermarket automotive industry.”
Datuk Bill Tan, Managing Director (Corporate Finance) of M & A Securities Sdn Bhd, commented, “The over-subscription of MSB Global’s IPO reflects investor confidence in the Group’s solid fundamentals and growth potential. The positive response, particularly from the public, highlights the market’s recognition of MSB Global’s established presence in the aftermarket automotive sector and its forward-looking initiatives, such as lubricant manufacturing and entry into the EV-related segment. We are honoured to support the Group in its listing journey and look forward to its continued success as a public-listed company.”
MSB Global is scheduled to be listed on the ACE Market of Bursa Malaysia Securities Berhad on 15 April 2025.
M & A Securites Sdn Bhd is the Principal Adviser, Sponsor, Underwriter, and Placement Agent for this IPO.
