Tentative Date(s):

• Opening of application - 22 October 2024

• Closing of application - 30 October 2024

• Balloting of applications - 04 November 2024

• Allotment of IPO shares to successful applicants - 11 November 2024

• Date of Listing - 13 November 2024

Company Background

The company was incorporated in Malaysia under the Act on 20 January 2023 as a private limited company under the name of Life Water Sdn Bhd. On 19 December 2023, the Company was converted to a public limited company under the name of Life Water Berhad to facilitate the Listing.The company is an investment holding company and through its subsidiaries, they are principally a manufacturer of beverages namely drinking water and carbonated drinks.

The company Group structure upon the Listing is set out below:

Use of proceeds

1. Set-up additional drinking water manufacturing line for Sandakan Sibuga Plant 1 - 29.96% (within 9 months)

2. Purchase of drinking water manufacturing line for Sandakan Sibuga Plant 2 - 18.92% (within 32 months)

3. Set-up second distribution centre in Sandakan - 19.87% (within 39 months)

4. Expansion of existing plastic packaging facilities in Kota Kinabalu - 15.15% (within 14 months)

5. Working capital - 6.64% - (within 3 months)

6. Estimated listing expenses - 9.46% (within 3 months)

Set-up additional drinking water manufacturing line for Sandakan Sibuga Plant 1 - 29.96% (within 9 months)

The company intends to allocate RM19.00 million, representing approximately 29.96% of the gross proceeds from the Public Issue to setting-up of a new drinking water manufacturing line at Sandakan Sibuga Plant 1. 

The following table sets out the estimated cost of setting-up a new drinking water manufacturing line at Sandakan Sibuga Plant 1:

Purchase of drinking water manufacturing line for Sandakan Sibuga Plant 2 - 18.92% (within 32 months)

The total estimated cost of setting up Sandakan Sibuga Plant 2 is at RM21.00 million. The company intends to allocate RM12.00 million, representing approximately 18.92% of the gross proceeds from the Public Issue to purchase 1 new drinking water manufacturing line for Sandakan Sibuga Plant 2. The remaining RM9.00 million will be funded using internally generated funds and/or bank borrowings.

The following table sets out the estimated cost of setting up the Sandakan Sibuga Plant 2 for the manufacturing of drinking water:

Set-up second distribution centre in Sandakan - 19.87% (within 39 months)

The company intends to allocate RM12.60 million, representing approximately 19.87% of the gross proceeds from the Public Issue to set-up second distribution centre in Sandakan.

The following table sets out the estimated cost for the setting up of Sandakan Sibuga DC2:

Expansion of existing plastic packaging facilities in Kota Kinabalu - 15.15% (within 14 months)

The company plan to set-up an automated warehouse racking system at their existing warehouse and purchase 1 unit of PET preform injection moulding machine to cater for the future production growth. The company intend to allocate RM9.61 million, representing approximately 15.15% of the gross proceeds from the Public Issue for the expansion of existing plastic packaging facilities.

The following table sets out the estimated cost to for the expansion of existing plastic packaging facilities:

Working capital - 6.64% - (within 3 months)

The company intends to allocate RM4.21 million or 6.64% of the gross proceeds raised from the Public Issue to supplement its working capital requirements. The company Group’s working capital requirements are expected to increase in line with the growth in the company Group’s business operations.  

Their general working capital is as follows: 

Business Model

The summary of the company business model is as follows: 

Click here to continue the IPO - Life Water Berhad (Part 2)

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