The golf retail and service provider’s IPO involves 228 million shares – comprising a public issue of 160 million new shares and 68 million existing shares – at an issue price of 81 sen apiece, according to the group’s local bourse filing today.

Of the 160 million new shares, 41.5 million are made available to the Malaysian public.

The group received 2,603 applications for nearly 62.73 million of this category of shares with a value of about RM50.81 million, representing an overall subscription rate of 1.51 times.

For the Bumiputera portion, MST Golf received 1,316 applications for 15.47 million shares, representing a subscription rate of 0.75 times.

Regarding the non-Bumiputera portion, 1,287 applications for 47.25 million shares were received, representing a subscription rate of 2.28 times.

Meanwhile, the IPO’s institutional offering of up to 178.6 million shares – comprising 110.6 million issue shares and 68 million offer shares – was oversubscribed by 6.39 times.

“The institutional offering received an overwhelming demand of approximately RM924 million after receiving significant interest from institutional and selected investors,” it said.

MST Golf expects to raise RM184.68 million from the IPO, of which RM129.6 million is from the issuance of new shares.

RHB Investment Bank Bhd is the principal adviser, sole underwriter and sole placement agent for the IPO exercise.

MST Golf is involved in specialty retail and wholesale of golf equipment such as golf clubs, golf apparels, and other accessories in Malaysia and Singapore.

From FY2019 to FY2022, its revenue grew by a three-year compound annual growth rate (CAGR) of 19.6% to RM300.9 million while net profit rose 41.8% to RM29.1 million.