KUALA LUMPUR (Dec 15): Paper-based packaging maker HPP Holdings Bhd, which is set to list on the ACE Market of Bursa Malaysia on Jan 20 next year, expects to raise gross proceeds of RM31.92 million from its initial public offering (IPO) to, among others, raise the manufacturer’s printing capacity, repay bank borrowings and finance the company’s working capital requirements.
In a statement, the offset packaging printing specialist said it had gotten the approval from Bursa Malaysia Securities Bhd to proceed with its initial public offering (IPO), comprising 108.669 million shares.
According to HPP’s prospectus, which was filed with Bursa today, the company intends to allocate approximately RM13.03 million of the gross proceeds from the IPO to acquire machines, which will help raise the manufacturer’s printing capacity, while RM7.78 million will be used to repay bank borrowings. HPP’s prospectus said the company’s IPO comprises a public issue of 88.67 million new shares and an offer for sale of 20 million existing shares at 36 sen each.