Sabah-based property developer KTI Landmark Berhad (KTI) has signed an underwriting agreement with M&A Securities Sdn Bhd for its upcoming listing on the ACE Market of Bursa Malaysia Securities.

The initial public offering (IPO) consists of 160 million new shares and an offer for sale of 45.0 million existing shares, representing 20.0% and 5.6% of KTI's enlarged share capital, respectively.

M & A Securities will underwrite 80 million new shares for Malaysian public and pink form allocations, while the remaining 80 million new shares will be placed out to Bumiputera investors approved by the Ministry of International Trade and Industry (MITI).

Regarding the offer for sale portion, 20 million shares are reserved for private placement to Bumiputera investors approved by MITI, and the remaining 25 million shares will be allocated through private placement to selected investors.

KTI group MD and CEO, Gordon Loke, expressed confidence in the company's growth trajectory and its transition to a listed entity.

He highlighted KTI's diversified portfolio, including construction services, property development, and manufacturing of industrialised building system components.

He said KTI has a successful track record as a design and build contractor for Lembaga Pembangunan Perumahan dan Bandar (LPPB) projects in Sabah and has completed residential and commercial projects worth RM207.6 million GDV since 1998.

The company aims to increase investor confidence and enhance its long-term value by listing on the ACE Market.

Currently, KTI has ongoing and upcoming projects worth RM2.3 billion GDV across various locations in Sabah, including Kota Kinabalu, Tuaran, Sandakan, and Papar.

Notable projects include Taman Wawasan, Taman La Gloxinia, and Taman Seri Lemawang.

The listing on the ACE Market is targeted for June 2024, with M&A Securities serving as the adviser, sponsor, underwriter, and placement agent for the IPO.