In a rebranding initiative, M&A Securities is changing its name to M&A Equity Holdings Bhd to realign with its new core business and future financial services endeavours, according to its statement today.
Managing director Bill Tan expressed plans to focus on asset management and consider establishing a Labuan investment bank to drive long-term growth.
“We believe M&A Equity is poised to build on its existing presence and capabilities in the corporate finance space, supported by its track record of bringing a wide range of clients into the market with great success.
“The listing is a prelude to our pursuit of becoming a key player in the financial services industry, offering a wider suite of financial services to cater to the needs of Malaysia’s growing capital markets,” he explained.
Additionally, Tan stated M&A Equity plans to enhance its corporate finance advisory services and increase its efforts in engaging with clients to secure more opportunities for deals.
The company also aims to undertake a greater number of initial public offerings and secondary offerings.
It has plans to expand its stock brokerage and margin financing business by improving the online trading platform and targeting a wider range of clients beyond the small and medium-sized enterprises market.
Rights issue
SYF conducted a fundraising campaign as part of the RTO exercise. It included a one-for-two rights issue and restricted issue, where existing shareholders and new investors were given the opportunity to participate by purchasing shares at a price of 22 sen per share.
The purpose of the fundraising was to generate funds for SYF’s financial services business. Approximately RM92.6 million was raised through this campaign, which will be primarily utilised to repay existing inter-company advances owed to M&A Securities and for meeting its working capital requirements.
To recap, the RTO involved SYF buying 100% of M&A Securities from Main Market-listed Insas Bhd for RM222 million, which was satisfied through the issuance of 1.009 billion SYF shares to Insas at 22 sen per share.
Prior to that, SYF disposed of its rubberwood furniture business and land assets, of which the proceeds were distributed to shareholders via a capital repayment of 18 sen per share involving a total sum of RM102.4 million.