The IPO involves the offering of up to 539 million IPO units comprising an offer for sale, representing up to 49% of the total units in the issue at a retail price of 95 sen per unit.
Based on the total units of 1.1 billion units at 95 sen per unit, the market capitalisation of Prolintas Infra BT upon listing will have the potential to reach RM1.045 billion.
Projek Lintasan Kota Holdings Sdn Bhd (Prolintas), the trust’s promoter, and its trustee-manager Prolintas Managers Sdn Bhd launched the IPO prospectus today.
The IPO exercise encompasses the listing through a business trust structure of Prolintas’ four key highways, namely, Ampang-Kuala Lumpur Elevated Highway (Akleh), Guthrie Corridor Expressway (GCE), Kemuning-Shah Alam Highway (LKSA), and Kajang Dispersal Link Expressway (SILK).
Prolintas Managers chairman Ikmal Hijaz Hashim said the intention behind listing the highways is twofold, namely to diversify Prolintas’ funding sources and position the company to embark on future strategic infrastructure initiatives.
“Simultaneously, it presents an attractive opportunity for investors to participate in Prolintas’ continued growth trajectory.
Prolintas group CEO Mohammad Azlan Abdullah said there is a plan for toll hikes for the GCE, LKSA and SILK but it is subject to reviews by the government.
“If the government does not approve the toll hikes, then they (the government) will have to compensate,” he said, adding there will be no toll hikes for Akleh.
Out of the institutional offering of up to 423 million IPO units, 285 million units will be allocated to institutional and selected investors excluding Bumiputera investors approved by the ministry of investment, trade and industry (Miti) while 137 million IPO units are reserved for Bumiputera investors approved by Miti.
The remaining 45.75 million IPO units which encompasses the retail offering portion comprising 27.5 million units will be made available for application by the public via balloting followed by 18.25 million units for application by eligible persons.
The underwriting would be handled by AmInvestment Bank Bhd, CIMB Investment Bank Bhd, Maybank Investment Bank Bhd, and RHB Investment Bank Bhd, acting as joint underwriters.
The application period for the IPO opens today and closes on March 12, 2024.