MeGroup gears for SGX-Catalist listing and trading debut

It received 90 valid applications for a total of 1.96m offer shares at its initial public offering.

Malaysian automotive components manufacturing firm MeGroup is set for its listing and trading debut at Singapore Exchange (SGX) after seeing a 1.3 oversubscription for its 1.5m shares, an announcement revealed.

“As the company enters this new phase of expansion of its diversified portfolio of manufacturing and dealership businesses in the Malaysian automotive industry, we look forward to supporting them in their growth journey ahead,” Mohamed Nasser Ismail, SGX’s head of capital market development and SME’s head of equity capital market, said.

At the close of its initial public offering (IPO) on 29 October, the firm received 90 valid applications for a total of 1.96m offer shares, the statement noted. In aggregate, MeGroup’s IPO of 16.5m invitation shares was approximately 1.0 time oversubscribed.

“Once listed, we would like to execute our plans and aim to show investors our growth performance as we steadily expand our business,” MeGroup’s CEO and executive chairman said.

The firm intends to invest in new technologies to increase its manufacturing capabilities and cost efficiency in order to keep up with technological advances, the statement revealed.

CIMB Bank Berhad’s Singapore branch is the sponsor and issue manager for the IPO, according to the announcement.

MeGroup is an approved supplier of Malaysian manufacturers of the Honda, Perodua, Mazda and Proton brands of automobiles.

With a market capitalisation of $27m, MeGroup’s listing brings the total number of companies listed on Catalist to 212. It opened at $0.23 on 31 October.