Trading on Catalist at 9.00am, 31 Jan. 2018; Net proceeds S$13.0mil attributable to Company
SINGAPORE — LY Corporation Limited (“LY Corporation”; SGX:1H8), one of Malaysia’s leading manufacturers and exporters of wooden bedroom furniture, announced today that the placement for its initial public offering (the “IPO” or the “Placement”) of 75,848,000 placement shares (“Placement Shares”) priced at S$0.26 per share has received strong investor demand.
At the close of the application list at 12.00 noon on 29 January 2018, the Group received valid applications for all 75,848,000 Placement Shares, and gross proceeds received amounted to approximately S$19.7 million.
Some of the notable investors included Mr Heah Theare Haw and Pheim Asset Management.
“We are encouraged by the strong investor interest in the IPO, which reflects confidence in LY Corporation’s track record and growth prospects. We believe that a listing on the Catalist board of the SGX-ST will allow us to tap the capital markets that will offer us significant impetus to expand our business,” said Mr Tan Yong Chuan, LY Corporation’s Executive Director and Chief Executive Officer.
With the completion of the Placement, LY Corporation’s total issued share capital now comprises approximately S$23.0 million comprising 489.1 million shares, and its market capitalisation is approximately S$127.2 million based on S$0.26 per Placement Share.
Of the net proceeds from the issue of new shares in the Placement of approximately S$13.0 million, S$1.0 million will be used for the expansion of sales network in the People’s Republic of China (PRC), S$5.0 million for the upgrading of machinery and equipment and acquiring new technology, S$4.0 million for the construction of additional facilities, and S$3.0 million for general working capital purposes.
Trading in the Company’s shares on the Catalist Board of the Singapore Exchange Securities Trading Limited (SGX:1H8) is expected to commence at 9.00 a.m. on Wednesday, 31 January 2018.