May 14, 2024 - Shares of Farm Price Holdings Bhd ($FPHB (0304.MY)$) surged 70% in its trading debut on Tuesday after the fresh vegetable wholesaler and distributor’s initial public offering (IPO) on the ACE Market raised RM24.48 million.
Farm Price, a company specializing in the wholesale and distribution of fresh vegetables, made a strong debut on Bursa Malaysia with its shares opening at twice their initial public offering (IPO) price of 24 sen, hitting a high of 49 sen, As of press time, the stock price reached 41 sen, with a trading volume of 1.41 billion shares. The robust investor interest was evident as the IPO was massively oversubscribed, with the public tranche receiving 91.35 times more applications than available, the Bumiputera portion 90.61 times, and the other public category 92.08 times.
The company's employee and director share scheme, in addition to a private placement for selected investors, were both fully subscribed. Farm Price operates not only in distribution but also in retail, with a store in Ulu Tiram, Johor. It boasts a network of regional distribution centers throughout Peninsular Malaysia, including a central hub in Johor that caters to both Malaysian and Singaporean markets.
The IPO raised RM24.48 million, earmarking 43% for working capital and 26% for new facility construction. Additionally, 8% was allocated for machinery, equipment, and fleet expansion, with another 7% for a new regional distribution and procurement center. Listing expenses accounted for the remaining 16% of the funds.
The offer-for-sale component of the IPO resulted in RM7.92 million for the selling shareholders, the managing director Dr. Tiong Lee Chian and his wife, executive director Liew Tsuey Er. Following its IPO, Farm Price was valued at 12.4 times its FY2023 net profit of RM8.7 million, which was earned from a revenue of RM114.2 million.
For 1QFY2024, Farm Price reported a net profit of RM2.67 million from a revenue of RM30.71 million. Without the listing expenses of RM480,000, the profit would have been RM3.02 million, with an adjusted net margin of 9.82%, higher than the 8.65% margin including listing costs.
Alliance Islamic Bank Bhd played a pivotal role in the IPO, acting as the principal adviser, sponsor, sole underwriter, and placement agent.
2024 年 5 月 14 日-Farm Price Holdings Bhd 的股票 ($FPHB (0304.MY)$）在週二的首次交易中飆升了70％，此前這家新鮮蔬菜批發商和分銷商在ACE市場的首次公開募股（IPO）籌集了2448萬令吉。
專門從事新鮮蔬菜批發和分銷的公司Farm Price在馬來西亞證券交易所首次亮相，其股票開盤價是首次公開募股（IPO）價格的兩倍，即24仙的最高水平，截至發稿時，股價達到41仙，交易量爲14.1億股。隨着首次公開募股被大規模超額認購，投資者的強烈興趣顯而易見，公共部分收到的申請量是現有申請的91.35倍，Bumiputera部分收到的申請量是可用申請的90.61倍，其他公開類別的92.08倍。
除了針對特定投資者的私募配售外，公司的員工和董事股票計劃均已全部認購。Farm Price不僅經營分銷業務，還經營零售業務，在柔佛州的烏魯提拉姆有一家門店。它擁有遍佈馬來西亞半島的區域配送中心網絡，包括柔佛州的中心樞紐，可滿足馬來西亞和新加坡市場的需求。
此次首次公開募股籌集了2448萬令吉，其中43％用於營運資金，26％用於新設施建設。此外，8％用於機械、設備和車隊擴張，另外7％用於新的區域配送和採購中心。上市費用佔資金的剩餘16％。
首次公開募股的要約部分爲出售股東、董事總經理Tiong Lee Chian博士和他的妻子、執行董事Liew Tsuey Er帶來了792萬令吉的收入。首次公開募股後，Farm Price的估值爲其 FY2023 870萬令吉淨利潤的12.4倍，該利潤來自1.142億令吉的收入。
在 1QFY2024 方面，Farm Price公佈的淨利潤爲267萬令吉，收入爲3,071萬令吉。如果沒有48萬令吉的上市費用，利潤將爲302萬令吉，調整後的淨利潤率爲9.82％，高於包括上市成本在內的8.65％的利潤率。
Alliance Islamic Bank Bhd在首次公開募股中發揮了關鍵作用，擔任首席顧問、發起人、獨家承銷商和配售代理人。
