Based on the IPO price of 25 sen per share and its enlarged issued shares of 360 million, its market capitalisation upon listing will be RM90 million. It is slated to be listed on Oct 17.
The stainless-steel sanitary valves, tubes and fittings supplier said the majority or 57.9% (RM13.01 million) of the proceeds will be utilised for the group’s business growth.
This includes product development and deployment (RM4 million), construction of a warehouse in Puchong, Selangor (RM4 million), setting up a new warehouse in Singapore (RM5.01 million), and repayment of bank borrowings (RM4.5 million).
In a media statement, managing director Cheong Chee Son said Minox aimed to increase its revenue from the semiconductor segment by strengthening its presence in the industry.
Having ventured into the semiconductor sector in 2020, Minox’s semiconductor segment contributes about 6% to its revenue.
“As stated in our prospectus, we are using our Singapore logistics hub to build more of this inventory to support the growth of the semiconductor industry.
“By using the logistics hub, we hope to supply urgent requirements and support the ongoing projects in the semiconductor industry,” he said at the launch of the company’s prospectus today.
In tandem with the impending listing, Minox has charted a three-pronged growth strategy. The first step is to strengthen its presence in the semiconductor industry where it has “great potential”.
“We intend to introduce our new vacuum fittings and valves to be used in the semiconductor production lines such as electronic components, solar cells, storage media and LED manufacturing plants,” he said.
Secondly, the group intends to construct its fourth warehouse in Puchong which will give an additional storage area of about 18,690 sq ft to support its growing business volume.
Third is the new warehouse in Singapore with a storage area of 7,500 sq ft which will facilitate its business and expansion growth there.
The warehouse is expected to provide additional capacity to store their new vacuum fittings and valves for the semiconductor industry as well as store inventories catering to customers in Singapore and other overseas markets.
In total, Minox has 12 warehouses across Southeast Asia, including three in Malaysia, four in Indonesia, three in Singapore, and two in Thailand.
Applications for the public issue are open from today and will be closed on Oct 3 at 5pm.