Security seal specialist Mega Fortris Bhd has issued the prospectus for its initial public offering (IPO) which will see some proceeds used for a playing-card handling business to be based in Macau.
Mega Fortris’ listing on the main board of Bursa Malaysia is due on November 11, according to an announcement this week.
The Malaysian company aims to raise an estimated MYR99.07 million (US$22.8 million) through the issuance of just under 147.9 million new shares at an IPO price of MYR0.67 per share.
Based on the company’s enlarged share capital of nearly 845.0 million shares and the proposed IPO price, the market capitalisation will be approximately MYR566.13 million, said the update.
Mega Fortris stated it would use 45.42 percent of the IPO proceeds for a new business venture in Macau, where it will provide a complete service for the “supply and handling of playing cards in sealed security boxes”.
A further 43.38 percent of the proceeds would part-finance new production facilities, including automated production lines for security seals, in the United Kingdom. The remainder will be for listing-related expenses.
Adrian Ng Meng Poh, group managing director, was quoted as saying that the supply and handling of playing cards in sealed security boxes in Malaysia and Macau involved “venturing into a new business”.
He added: “The new business venture complements our existing business of manufacturing security boxes and seals, allowing us to offer an end-to-end solution to our customers which are casino operators – from production to destruction of playing cards.”
