Listing Detail:
Listing Sought: Main Market
Issue Price: RM 0.66

Dates:
Offer Period Open: 13 Nov 2018
Offer Period Close: 23 Nov 2018
Tentative listing date: 05 Dec 2018

Number of shares:
Public Issue: 60,105,000
Offer for Sale: 0
Private Placement: 42,605,000

Stock Code: TECHBND

Official Announcement

PUBLIC ISSUE OF 60,105,000 NEW ORDINARY SHARES IN TECHBOND GROUP BERHAD ("SHARES") AT AN ISSUE PRICE OF RM0.66 PER SHARE PAYABLE IN FULL UPON APPLICATION COMPRISING:

(I) 11,500,000 NEW SHARES AVAILABLE FOR APPLICATION BY THE MALAYSIAN PUBLIC;

(II) 6,000,000 NEW SHARES AVAILABLE FOR APPLICATION BY THE ELIGIBLE DIRECTORS AND EMPLOYEES OF OUR COMPANY AND OUR SUBSIDIARIES ("GROUP") AND OTHER PERSON(S) WHO HAVE CONTRIBUTED TO THE SUCCESS OF OUR GROUP;

(III) 23,000,000 NEW SHARES AVAILABLE FOR APPLICATION BY WAY OF PRIVATE PLACEMENT TO BUMIPUTERA INVESTORS APPROVED BY THE MINISTRY OF INTERNATIONAL TRADE AND INDUSTRY, MALAYSIA; AND

(IV) 19,605,000 NEW SHARES AVAILABLE FOR APPLICATION BY WAY OF PRIVATE PLACEMENT TO SELECTED INVESTORS,

IN CONJUNCTION WITH OUR LISTING ON THE MAIN MARKET OF BURSA MALAYSIA SECURITIES BERHAD.

Company Overview

Techbond Group Berhad is a developer and manufacturer of industrial adhesives with business operations and manufacturing facilities in Malaysia and Vietnam, serving markets in Asian, African and Middle Eastern countries.

The company is principally involved in developing and manufacturing industrial adhesives, namely water-based and hot melt adhesives; developing and manufacturing industrial sealants, namely water-based and solvent-based sealants; and providing supporting products and services to its customers, which include certain OEM industrial adhesives and sealants, chemicals, adhesive repellents and cleaners, spare parts and maintenance services.
 

Address & Contact:

No. 36, Jalan Anggerik Mokara 31/59, Seksyen 31, Kota Kemuning, 40460 Shah Alam, Selangor Darul Ehsan, Malaysia.

Tel: +603-5122 3333
Email: adhesive@techbond.com.my
Website: http://www.techbond.com.my

Share Capital

• Market Cap: RM151.8 mil
• Shares Issue to sell: 60.105 mil shares
• Enlarged Issued Shares: 230.00 mil shares

Revenue on Geo (2018)

• Malaysia: 20.37%
• Vietnam: 53.92%
• Indonesia: 11.67%
• China: 6.9%
• Others: 7.14%

Past Financial Proformance (Revenue, EPS)

• 2018: RM86.811 mil (eps: 0.5835)
• 2017: RM82.363 mil (eps: 1.1341)
• 2016: RM75.861 mil (eps: 7.5463)
• 2015: RM63.626 mil (eps: 6.1198)

Net Profit Margin

• 2018: 15.46%
• 2017: 17.67%
• 2016: 15.41%
• 2015: 14.90%

Use of fund

• Factory Construction (Vietnam): 25.2%
• Purchase of machineries & equipment (Vietnam Factory): 32.12%
• Working capital (Vietnam): 15.22%
• Purchase of machineries & equipment (Shah Alam Factory): 11.35%
• Working capital (Malaysia Expansion): 3.51%
• Listing expenses: 12.6%

News: Techbond Aims to Raise RM39.7m From IPO

Techbond Group Berhad (Techbond), a developer and manufacturer of industrial adhesives and sealants, as well as a provider of supporting products and services, yesterday launched its Prospectus pursuant to its Initial Public Offering (IPO) exercise in conjunction with its listing on the Main Market of Bursa Malaysia Securities Berhad.

The Prospectus was launched by the managing director of Techbond, Lee Seng Thye together with the Group’s Board of Directors.

Speaking at the launch, the managing director of Techbond, Lee Seng Thye said, “Today we reach another milestone as we take one more step towards our listing on the Main Market of Bursa Securities. We believe that this listing exercise will further strengthen our corporate profile to enhance market awareness of our business as well as provide a platform for our growth regionally.”

In conjunction with its listing on the Main Market of Bursa Securities, the IPO entails a public issue of approximately 60.11 million new ordinary shares at an issue price of RM0.66 per share.

The Public share comprises 11.50 million shares that will be made available for application by the public, six million shares will be available for application by the Eligible Directors, Employees and other persons who have contributed to the success of Techbond.

Meanwhile, 23 million shares will be made available for application by way of private placement to Bumiputera investors approved by the Ministry of International Trade and Industry (MITI), Malaysia and the remaining 19.61 million shares will be made available by way of private placement to selected investors.

Based on the issue price of RM0.66 per share and the enlarged issued share capital of Techbond Group Berhad of 230,000,000 ordinary shares, the Company will have a market capitalisation of RM151.8 million.

Lee added, “We would continue to capitalise on our strengths to generate sustainable revenue from our existing businesses.

“We believe our strong fundamentals will put us in good stead, and we are confident that we can deliver commendable performance in the coming years.”