- Garners RM115.0 mil from public investors
- To list on Main Market on 15 April 2010
Kuala Lumpur, 5 April 2010 – ECS ICT Berhad (“ECSB”, “佳杰科技”), a leading Information & Communications Technology (“ICT”) distribution hub in Malaysia, received very good response for its Initial Public Offering (“IPO”) on the Main Market of Bursa Malaysia Securities Berhad (“Bursa Malaysia”), with the public tranche of the IPO oversubscribed by 6.9x.
ECSB received a total of 7,097 applications for 78.8 million shares with a total value of RM115.0 million versus its total 10.0 million shares that were made available for application by the Malaysian public under the Group’s IPO scheme.
“We are very pleased with the subscription results; the investing community has in effect expressed their vote of confidence for our business viability and growth potential.
Given that we are among the only two ICT distribution companies in Malaysia with revenues surpassing RM1 billion, we are in an enviable position to benefit from the continuous growth in the ICT industry.
Following our listing, we aim to expand our business infrastructure further by enhancing our internal enterprise system, securing more brand names, and expanding our reseller base. This will certainly strengthen our footing to build an even larger revenue base moving forward.”
Mr. Foo Sen Chin (“胡善正”)
Managing Director, ECS ICT Berhad
ECSB is slated to list on the Main Market on 15 April 2010.
ECSB’s IPO entailed a public issue of 27.0 million new shares, and an offer-for-sale issue of up to 20.0 million vendor shares at an IPO price of RM1.46 each. The exercise will raise RM39.5 million for ECSB and up to RM29.2 million for the vendors.
Of the 27.0 million shares, 10.0 million shares were allocated for the Malaysian Public via balloting, 13.4 million shares for private placement to selected investors and 3.6 million shares for eligible directors, employees and business associates who have contributed to the success of the ECSB Group.
The total proceeds of RM39.5 million raised from the IPO will be utilized as follows: RM24.3 million for working capital, RM5.4 million for the pre-listing acquisition of 20% equity stake in one of its subsidiaries, RM5.0 million for business expansion, RM3.0 million for listing expenses, and RM1.7 million to fund the pre-listing consolidation of its subsidiaries.
MIMB Investment Bank Berhad, a member of the EON Bank Group, is the adviser, sole underwriter and co-placement agent for ECSB’s IPO. CIMB Investment Bank Berhad is the co-placement agent.
ABOUT ECS ICT BERHAD
ECS ICT Berhad (“ECSB”), an MSC-status company, and its group of subsidiaries started in 1985 with the establishment of ECS KU Sdn Bhd. Today the Group is a leading distribution hub for Information & Communications Technology (“ICT”) products in Malaysia via ECS ASTAR Sdn Bhd and ECS PERICOMP Sdn Bhd.
ECSB distributes a comprehensive range of ICT products under two categories – (1) ICT products comprising notebooks, desktop computers, printers and software; and (2) Enterprise Systems comprising network and communication infrastructure, servers, and enterprise software.
ECSB’s products are sourced from more than 30 global principals, including Hewlett Packard, IBM, Cisco, Microsoft, Apple, Sun Microsystems, Epson, Samsung, Buffalo, Adobe, Juniper, Blue Coat, Oracle, VMWare and Google.
ECSB’s nationwide distribution network spans over 2,500 resellers comprising retailers, system integrators and corporate dealers. ECSB also provides value-added product support and technical services.
Issued for and on behalf of ECS ICT BERHAD by Aquilas Advisory (Malaysia) Sdn Bhd.
For media enquiries, please contact:
Ms. Julia PONG
julia@aquilas.com.my
Tel: +603 2711 1391 / +6012-390 9258
