Listing Detail:
Listing Sought: Main Market
Issue Price: RM 0.28

Dates:
Offer Period Open: 27 Feb 2020
Offer Period Close: 6 Mar 2020
Tentative listing date: 18 Mar 2020

Number of shares:
Public Issue: 58,000,000
Offer for Sale: 25,000,000
Private Placement: 59,000,000
 

Stock Code: ACO

Official Announcement

INITIAL PUBLIC OFFERING ("IPO") IN CONJUNCTION WITH THE LISTING OF ACO GROUP BERHAD ("ACO") ON THE ACE MARKET OF BURSA MALAYSIA SECURITIES BERHAD ("BURSA SECURITIES") COMPRISING:

(I) PUBLIC ISSUE OF 58,000,000 NEW ORDINARY SHARES IN ACO ("ACO SHARES" OR "SHARES") IN THE FOLLOWING MANNER:

15,000,000 NEW ACO SHARES MADE AVAILABLE FOR APPLICATION BY THE MALAYSIAN PUBLIC;

9,000,000 NEW ACO SHARES MADE AVAILABLE FOR APPLICATION BY OUR ELIGIBLE DIRECTORS, EMPLOYEES AND PERSONS WHO HAVE CONTRIBUTED TO THE SUCCESS OF OUR GROUP;

4,000,000 NEW ACO SHARES MADE AVAILABLE BY WAY OF PRIVATE PLACEMENT TO IDENTIFIED INVESTORS;

30,000,000 NEW ACO SHARES MADE AVAILABLE BY WAY OF PRIVATE PLACEMENT TO BUMIPUTERA INVESTORS APPROVED BY THE MINISTRY OF INTERNATIONAL TRADE AND INDUSTRY; AND

(II) OFFER FOR SALE OF 25,000,000 EXISTING ACO SHARES BY WAY OF PRIVATE PLACEMENT TO IDENTIFIED INVESTORS,

AT AN IPO PRICE OF RM0.28 PER SHARE, PAYABLE IN FULL UPON APPLICATION.

In the News: Aco Group to raise RM16.2m from IPO

KUALA LUMPUR: Aco Group Bhd, a distributor of electrical products and accessories, aims to raise RM 16.2mil from its proposed listing on the ACE Market. The tentative listing date is March 18.

Group managing director, Ir. Tang Pee Tee @ Tan Chang Kim said the company plans to enter new markets and add more retail touchpoints across Peninsular Malaysia.

"Over the next two years, we will be setting up a new head office and distribution centre in Johor, adding seven new sales outlets and two distribution centres in other towns within Johor, as well as in new markets such as Negeri Sembilan, Kelantan, Terengganu, Pahang, and Penang, ” Tang said at the company’s prospectus launch here.

The company will be widening its product range of third-party brands and own brands products in addition to upgrading its enterprise resource planning system and two online ordering system.

"We will expand our in-house logistics fleet by purchasing three additional trucks to support the company’s growing operations, ” he said.

The company will also be growing its "UR Home Light” concept store outlets, one each in Kuala Lumpur and Johor Bahru to tap into opportunities in the building and construction industry including renovation and interior fit-outs segment of the market.

From the IPO exercise, 25.9% or RM4.2mil out of the total proceeds would be used to set up new sales outlets and concept stores, 15.4% (RM2.5mil) for a new head office and distribution centre in Johor.

It will also allocate 12.3% (RM2mil) to purchase new trucks and upgrade Information Technology (IT) system, 26.1% (RM4.2mil) for working capital and 20.3% (RM3.3mil) for estimated listing expenses.

Upon listing on the Ace Market, the group will have a market capitalization of RM84mi based on the issue price of 28 sen and its enlarged share capital of 300 million shares.

Applications for the public Issue will close on March 6,2020.

The group distributes 88 brands of electrical products and accessories comprising 85 third parties and three own brands.

It is also an authorised distributor for 10 brands of electrical products that include Schneider Electric, KDK, Hager, Omron, ABB, Panasonic, Ledvance, Maxguard, Siemens and Yaskawa.

- Bernama